The 2025 Shanghai Cooperation Organisation (SCO) summit held in Tianjin, China, marked the largest gathering in the organisation’s history. It took place amid growing global economic instability caused by escalating trade tensions, especially between the United States and other major economies. The summit brought into light China’s role as a defender of multilateralism and showcased evolving geopolitical alliances in Eurasia. India’s position at the summit reflected its complex relations with China and Russia under the shadow of US trade policies.
The Evolution of the Shanghai Cooperation Organisation
The SCO began in 1996 as a security alliance focused on border management among China, Russia, and Central Asian nations. Over nearly three decades, it transformed into a major Eurasian bloc. Today, it includes ten member states, two observers, and fourteen dialogue partners. The organisation represents nearly half the world’s population, a quarter of global landmass, and a quarter of the world’s GDP. Its core values, known as the “Shanghai Spirit,” promote mutual trust, equality, respect for diverse civilisations, and shared development.
China’s Economic Influence within the SCO
China’s economic power was a central theme at the summit. Trade among SCO members has grown substantially, with China’s trade within the bloc reaching $890 billion in 2024. This accounts for 14.4% of China’s total foreign trade. China uses the SCO to counterbalance US-led global economic dominance and to strengthen ties with member states. The organisation serves as a platform for China to project influence across Eurasia and beyond.
India’s Position and Challenges in the SCO
India joined the SCO as a full member only in 2017 and remains a peripheral player. Its relations with China are strained due to the 2020 Galwan border clashes. India faces a difficult balancing act as it confronts high US tariffs on its exports and seeks alternative trade partnerships. Despite tensions, India and China engaged in dialogue at the summit, with China urging cooperation rather than rivalry. However, India’s influence is limited, especially as China resists any attempts to address Pakistan’s role in regional terrorism within the SCO framework.
Geopolitical Implications of the SCO Summit
The SCO summit telld shifting global power dynamics. The organisation acts as a counterweight to US influence, promoting a multipolar world order. China and Russia’s close cooperation was evident, including joint naval patrols. India’s strategic options remain constrained by regional conflicts and its peripheral status in Central Asia. The summit also brought into light the SCO’s focus on economic modernisation and security, though political and ideological differences persist among members.
Future Prospects for India-China Relations and SCO
India’s participation in the SCO offers opportunities but also challenges. Strengthening economic ties with China could mitigate the impact of US tariffs. Yet, longstanding border disputes and differing geopolitical interests limit deeper cooperation. India must prioritise economic and technological development over cultural diplomacy to enhance its regional influence. The SCO’s ability to encourage a new type of international relations depends on resolving internal contradictions and managing diverse member interests.
Questions for UPSC:
- Discuss the role of regional organisations like the Shanghai Cooperation Organisation in shaping multipolar world order and countering unilateral global dominance.
- Critically examine the impact of trade wars on emerging economies with reference to India’s economic strategies amid US-China tensions.
- Explain the significance of India’s foreign policy balancing act between China, Russia, and the United States in the context of evolving geopolitical alliances.
- With suitable examples, discuss the challenges and opportunities for regional cooperation in Central Asia in the light of India’s peripheral position in the Shanghai Cooperation Organisation.
