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Subject: International Relations

  • AI Impact Summit 2026

    Why in the News?

    India is hosting the AI Impact Summit 2026 from February 16 to 20 at Bharat Mandapam, New Delhi. The Prime Minister is inaugurating the India AI Impact Expo 2026, with participation from global tech leaders and representatives from nearly 100 countries.

    About AI Impact Summit 2026

    1. Edition: 4th AI Impact Summit.Previous editions were held in the U.K., South Korea and France. First time hosted in a Global South country.
    2. Venue: Bharat Mandapam, New Delhi. Same complex that hosted the G20 Leaders’ Summit 2023.
    3. Theme Structure: Organized around three thematic chakras People, Planet and Progress

    Key Highlights

    • Participation of global tech CEOs including: Sundar Pichai, Sam Altman, Demis Hassabis, Dario Amodei and Brad Smith
    • Attendance by global leaders including: Emmanuel Macron, Luiz Inácio Lula da Silva and António Guterres
    • Bilateral engagements on the sidelines.
    • Dedicated all women hackathon.
    • Leaders’ summit and Tech CEO roundtable.
    [2025] Consider the following statements regarding AI Action Summit held in Grand Palais, Paris in February 2025: I. Co-chaired with India, the event builds on the advances made at the Bletchley Park Summit held in 2023 and the Seoul Summit held in 2024. 

    II. Along with other countries, the US and UK also signed the declaration on inclusive and sustainable AI. 

    Which of the statements given above is/are correct? 

    (a) I only (b) II only (c) Both I and II (d) Neither I nor II

  • India tested, from U.S sanctions to one sided trade deal

    PYQ Relevance

    [UPSC 2019] “What introduces friction into the ties between India and the United States is that Washington is still unable to find for India a position in its global strategy, which would satisfy India’s National self- esteem and ambitions” Explain with suitable examples.

    Linkage: It tests India-U.S. strategic divergence under GS II. It directly links to tariff pressure and U.S. demands on Russian oil, highlighting friction between U.S. global strategy and India’s strategic autonomy.

    Mentor’s Comment

    India’s strategic autonomy faces renewed scrutiny amid U.S. tariff diplomacy and sanctions-linked trade conditionalities. The episode raises core questions of sovereignty, regulatory fairness, executive overreach, and balance-of-power politics. 

    Why in the News?

    India and the U.S. have concluded an Interim Trade Agreement after the U.S. imposed 25% tariffs in August 2025. The tariffs were linked to India’s Russian oil imports, which had peaked at ~40% in 2024 before falling to ~25% by late 2025. The episode shows how trade is increasingly tied to strategic and energy considerations.

    Does U.S. Tariff Diplomacy Undermine Rules-Based Trade Governance?

    1. Unilateral Executive Action: Links tariff reduction to geopolitical compliance rather than WTO-consistent trade negotiations; weakens multilateral dispute mechanisms.
    2. Punitive Tariffs: Imposed 25% duties in August 2025 on Indian goods; subsequently rescinded through executive orders.
    3. Conditional Market Access: Seeks expanded U.S. access to Indian markets while pressing for reduction of Russian oil imports.
    4. Institutional Accountability: Bypasses negotiated reciprocity; shifts balance from institutional trade frameworks to executive discretion.

    How Does the Issue Impact India’s Strategic Autonomy Doctrine?

    1. Strategic Autonomy Principle: Preserves independent decision-making in defence, energy, and diplomacy.
    2. Energy Diversification: Russian oil share rose to ~40% of imports in 2024; reduced to 25% by late 2025.
    3. Defence Alignment Pressure: Trade terms implicitly linked with broader security cooperation including Indo-Pacific posture.
    4. BRICS Signalling: Constrains India’s credibility among BRICS members and Global South partners.

    Does Energy Security Justify Continued Russian Oil Imports?

    1. Energy Affordability: Discounted Russian crude lowered import bills amid global price volatility.
    2. Supply Stability: Ensures diversified sourcing amid Middle East uncertainty.
    3. Import Adjustment: Purchases already declining since November 2025; December 2025 imports at 38-month low.
    4. National Interest Standard: Foreign policy decisions aligned with economic stability rather than bloc politics.

    What Are the Implications for Federal Economic and Institutional Governance?

    1. Trade Policy Centralisation: Executive-level negotiation limits parliamentary scrutiny.
    2. Economic Sovereignty: Conditional trade concessions affect domestic regulatory autonomy.
    3. Chabahar Port Concerns: U.S. push to reduce Iranian linkage impacts India’s connectivity strategy to Central Asia.
    4. Policy Credibility: Abrupt compliance may weaken India’s long-term negotiation leverage.

    Does Compliance Strengthen or Weaken India’s Global Standing?

    1. Global South Leadership: India previously resisted unilateral sanctions pressure; retreat affects credibility.
    2. Multi-Alignment Strategy: Balances U.S., Russia, and developing nations; over-compliance narrows options.
    3. Precedent Risk: Accepting trade-linked geopolitical conditions institutionalises coercive diplomacy.
    4. Long-Term Diplomacy: Undermines perception of India as an independent pole in emerging multipolar order.

    How Does This Episode Reflect Changing U.S. Trade Strategy?

    1. Economic Statecraft: Uses tariffs as instruments of geopolitical leverage.
    2. Integrated Pressure Model: Links trade, sanctions, defence, and energy policies.
    3. Executive-Centric Diplomacy: Social media and executive orders shape negotiation narrative.
    4. Transactional Framework: Replaces value-based partnership rhetoric with outcome-based compliance metrics.

    Conclusion

    The India-U.S. interim trade agreement may have eased immediate tariff tensions, but it underscores a deeper structural shift in global politics, where trade, energy, and strategic alignment are increasingly intertwined. For India, the core challenge lies in safeguarding strategic autonomy while deepening economic engagement with the West. The durability of this partnership will depend not on transactional concessions, but on mutual respect for sovereign decision-making within an evolving multipolar order.

  • ​A decisive mandate: On Tarique Rahman, the BNP, the Bangladesh result

    Why in the News?

    The 2026 parliamentary elections in Bangladesh marked a decisive political transition. The Bangladesh Nationalist Party (BNP), led by Tarique Rahman, secured a parliamentary majority after the Bangladesh Awami League was barred from contesting. The episode raises questions of democratic restoration, institutional neutrality, and strategic implications for South Asia.

    How Did the 2026 Parliamentary Election Alter the Political Power Structure?

    1. Electoral Outcome: The Bangladesh Nationalist Party (BNP) secured a parliamentary majority and formed the government.
    2. Power Alternation: Marks a shift from prolonged Awami League dominance to opposition-led governance.
    3. Turnout Increase: Approximately 62-65% voter participation compared to ~40% in 2024.
    4. Public Mandate Signal: Higher participation indicates re-engagement of the electorate.

    What Are the Democratic Implications of the Awami League’s Exclusion?

    1. Party Disqualification: The Bangladesh Awami League was barred from contesting due to regulatory and legal action during transition.
    2. Competitive Neutrality Question: Absence of the principal rival affects level playing field.
    3. Institutional Scrutiny: Raises concerns regarding electoral fairness and regulatory independence.
    4. Legitimacy Debate: Procedural legality must be assessed alongside inclusiveness.

    How Will the Regime Change Impact Institutional Accountability?

    1. Parliamentary Oversight: New ruling party faces responsibility to ensure executive accountability.
    2. Judicial Role: Courts must maintain independence in handling cases involving former regime actors.
    3. Bureaucratic Neutrality: Administrative machinery must function beyond partisan alignment.
    4. Media Environment: Political transition may expand space for public debate.

    What Governance Challenges Confront the BNP Government?

    1. Economic Stabilisation: Inflation control and debt management remain immediate priorities.
    2. Youth Employment: Demographic pressures demand labour-intensive growth.
    3. Minority Protection: Political transition must not trigger retaliatory targeting.
    4. Law and Order: Ensures stability during post-transition consolidation.

    What are the regional geopolitical implications of Bangladesh’s regime change?

    1. Strategic Realignment: Alters South Asian power balance amid Chinese and U.S. influence expansion.
    2. Economic Diplomacy: Strengthens Bangladesh’s bargaining leverage in regional trade agreements.
    3. Security Architecture: Impacts BIMSTEC and sub-regional cooperation frameworks.
    4. Migration Governance: Influences cross-border population and minority protection debates.
    5. Hasina Factor: Complicates bilateral diplomacy due to her status as a fugitive in Dhaka and presence in Delhi.

    How Does the 2026 Transition Affect India-Bangladesh Relations?

    1. Diplomatic Reset: Facilitates re-engagement after ties declined under interim leadership.
    2. Security Cooperation: Ensures protection of Indian missions and cross-border intelligence coordination.
    3. Trade Restoration: Revives disrupted connectivity, trade corridors, and supply chains.
    4. Strategic Competition: Reclaims space ceded to Pakistan, the U.S., and China post-Hasina era.
    5. Bay of Bengal Strategy: Bangladesh remains central to maritime security architecture.

    Does Political Alternation Guarantee Democratic Consolidation?

    1. Procedural Democracy: Election conducted through constitutional mechanism.
    2. Substantive Democracy: Requires inclusive participation and institutional neutrality.
    3. Rule of Law: Application must remain non-selective.
    4. Long-Term Stability: Depends on balancing accountability with reconciliation.

    PYQ Relevance

    [UPSC 2022] ‘India is an age-old friend of Sri Lanka.’ Discuss India’s role in the recent crisis in Sri Lanka in the light of the preceding statement.

    Linkage: It tests India’s neighbourhood diplomacy, crisis response strategy, and balancing of strategic interests with regional stability. Similar to Bangladesh’s 2026 transition, it highlights how India must engage political crises in neighbouring states through calibrated support while safeguarding security

  • BNP Returns to Power in Bangladesh

    Why in the News?

    The Bangladesh Nationalist Party secured a landslide victory in Bangladesh’s parliamentary elections held on February 12. Party chief Tarique Rahman is set to form the next government, with transfer of power likely by February 17 or 18.

    Key Election Results

    • BNP led alliance won 212 seats, securing a two thirds majority in the Jatiyo Sangsad
    • 11 party alliance led by Jamaat-e-Islami won 77 seats
    • Independents won 8 seats

    National Referendum

    • 60.2 percent voters backed sweeping democratic reforms
    • Conducted alongside parliamentary elections
    • Signals mandate for institutional and governance reforms

    Transfer of Power

    • Interim government led by Muhammad Yunus to hand over power
    • Formal process after gazette notification by Election Commission
    • Oath taking to be legally validated following 2024 parliamentary dissolution

    International Reactions

    • Prime Minister Narendra Modi congratulated Tarique Rahman and reaffirmed India’s support for a democratic and inclusive Bangladesh
    • Congratulatory messages from US, China, Nepal and Maldives

    Political Context

    • 2024 mass uprising led to fall of previous government under Sheikh Hasina
    • Parliament was dissolved amid political unrest
    • Representation of women and minorities reportedly at a two decade low
    [2025] Consider the following countries: I. United Arab Emirates 

    II. France 

    III. Germany 

    IV. Singapore 

    V. Bangladesh 

    How many countries amongst the above are there other than India where international merchant payments are accepted under UPI? 

    (a) Only two (b) Only three (c) Only four (d) All the five

  • African Union Summit and Institutional Challenges

    Why in the News?

    The African Union (AU) held its annual summit in Addis Ababa, Ethiopia, amid rising conflicts, military coups, and governance crises across Africa, raising concerns about its effectiveness and enforcement capacity.

    About the African Union

    • Established in 2002, replacing the Organization of African Unity
    • Headquarters: Addis Ababa, Ethiopia
    • Members: 55 African countries
    • Objective: Promote unity, peace, security, democracy, and economic integration in Africa

    Key Institutional Features

    • Peace and Security Council (PSC): Conflict prevention and peacekeeping
    • African Charter on Democracy, Elections and Governance: Opposes unconstitutional changes of government
    • Provision to suspend members after military coups

    Current Challenges

    • 10 military coups since 2020 across Africa. AU has struggled to enforce its rule barring coup leaders from contesting elections. Ongoing conflicts in: Sudan, Democratic Republic of the Congo, and Sahel region insurgencies
    • Weak response to controversial elections in: Tanzania and Burundi
    • Financial constraints:
    • Missed self funding targets (2020, 2025)
    • Around 64 percent funding from external partners such as the US and EU

    Why is the AU Considered Weak?

    • Member states reluctant to grant strong enforcement powers
    • Dependence on external funding limits autonomy
    • Political divisions among members
    • Limited ability to intervene in internal conflicts
    [2023] In the recent years Chad, Guinea, Mali and Sudan caught the international attention for which one of the following reasons common to all of them? 

    (a) Discovery of rich deposits of rare earth elements 

    (b) Establishment of Chinese military bases 

    (c) Southward expansion of Sahara Desert 

    (d) Successful coups

  • As multilateralism erodes, India must reframe its foreign policy

    Why in the News?

    Global institutions are weakening as U.S.-China rivalry intensifies and countries increasingly take unilateral trade and security actions. The U.S. has bypassed WTO dispute systems and imposed tariffs, while China has expanded trade ties and is now the top trading partner for over 120 countries. The North Atlantic Treaty Organization’s (NATO) role is questioned, and the United Nations (UN) faces decision-making paralysis. Despite tensions, India remains heavily dependent on Chinese imports. The post-1991 liberal global order is fragmenting, forcing India to rethink strategic autonomy, diversify trade, and build domestic capacity. These shifts directly affect India’s trade, security, and diplomatic space.

    Introduction

    India’s foreign policy evolved from Non-Alignment to strategic autonomy within a multilateral, rule-based global order. The emerging order is increasingly transactional, alliance-driven, and technology-centric. This requires recalibration of India’s external engagement strategy.

    Why is Multilateralism Eroding?

    1. Institutional Paralysis: Multilateral institutions such as the UN and World Trade Organisation (WTO) face decision-making deadlocks, reducing enforceability of global norms. The WTO dispute settlement mechanism remains dysfunctional.
    2. Power Politics: Major powers prioritise bilateral leverage over multilateral commitments. The U.S. imposed unilateral tariffs despite WTO membership.
    3. Alliance Fragmentation: NATO’s unity faces internal divergence. Strategic competition overshadows collective security objectives.
    4. Economic Nationalism: Countries increasingly adopt protectionist measures. The U.S.-China trade war reflects departure from liberal trade principles.
    5. Decline of Global Consensus: Consensus-based diplomacy gives way to issue-based coalitions and minilateral frameworks.

    Is Strategic Autonomy Still Viable?

    1. Cold War Origins: Strategic autonomy emerged through the Non-Aligned Movement to preserve decision-making independence amid U.S.-Soviet bipolarity.
    2. Post-1991 Evolution: India retained autonomy while integrating into the liberal economic order, engaging the U.S., Russia, EU, BRICS, and Quad simultaneously.
    3. Operational Example: India purchased the Russian S-400 system despite U.S. CAATSA pressure and did not choose the U.S. Patriot system, demonstrating independent security choices.
    4. Multi-Alignment: Simultaneous engagement in Quad, BRICS, SCO, and continued defence ties with Russia reflect flexible alignment.
    5. Shrinking Multilateral Space: WTO paralysis and UN gridlock reduce institutional protection for balanced positioning.
    6. Capability Imperative: Autonomy is sustainable only if backed by manufacturing strength, technological capacity, and diversified trade. Strategic autonomy now requires material capability, not only diplomatic positioning. 

    How Is Power Politics Reshaping Global Relations?

    1. U.S.-China Rivalry: The U.S. CHIPS and Science Act (2022) restricts semiconductor exports to China; China advances “Made in China 2025” for tech self-reliance.
    2. Economic Coercion: The U.S. imposed Section 301 tariffs on China; Russia was excluded from SWIFT after the Ukraine war, showing finance as a strategic tool.
    3. Supply Chain Shift: The Indo-Pacific Economic Framework (IPEF) and “friend-shoring” aim to reduce dependence on China; Japan subsidised firms relocating from China.
    4. Minilateralism: The Quad and AUKUS operate outside universal platforms like the UN, focusing on strategic coordination.
    5. WTO Paralysis: The U.S. blocked Appellate Body appointments, disabling dispute settlement since 2019.

    What Challenges Does This Create for India?

    1. Trade Dependence: India remains significantly dependent on Chinese imports despite geopolitical tensions.
    2. Reduced Legal Recourse: WTO paralysis limits dispute resolution options.
    3. Technology Gaps: Dependence on external technology constrains strategic space.
    4. Dual Security Pressure: Border tensions and regional instability complicate balancing strategy.
    5. Development Linkage: External volatility directly affects growth ambitions.

    India must therefore shift from reactive diplomacy to structured strategic positioning.

    How Should India Reframe Its Foreign Policy?

    1. Endogenous Capacity: Strengthens domestic manufacturing and technological capability.
    2. Trade Diversification: Expands FTAs with EU, Africa, and emerging markets.
    3. Technology Partnerships: Deepens cooperation in AI, digital infrastructure, and cybersecurity.
    4. Pragmatic Regional Engagement: Stabilises neighbourhood relations through economic instruments.
    5. BRICS Repositioning: Aligns BRICS toward economic coordination rather than political bloc identity.
    6. Digital Currency Cooperation: Integrates official digital currencies to facilitate cross-border trade.
    7. Viksit Bharat 2047 Alignment: Links foreign policy with development milestones and economic transformation.

    Conclusion

    The erosion of multilateralism reflects structural transformation in global power distribution. India must recalibrate foreign policy toward endogenous capacity, diversified trade, and technology-driven growth. Strategic autonomy remains relevant but requires economic and technological foundations to remain credible.

    PYQ Relevance

    [UPSC 2019] “The long-sustained image of India as a leader of the oppressed and marginalised Nations has disappeared on account of its new found role in the emerging global order”. Elaborate.

    Linkage: It examines the evolution of India’s foreign policy from moral leadership of the Global South to pragmatic strategic positioning. It directly links to themes of eroding multilateralism and the shift from traditional strategic autonomy to interest-driven engagement in the emerging global order.

  • Pakistan Raises Indus Waters Issue over Sawalkot Dam

    Why in the News?

    Pakistan’s Foreign Office has stated that it has formally sought details from India regarding the Sawalkot Dam project, asserting that there will be no compromise on Pakistan’s water rights under the Indus Waters Treaty (IWT).

    Indus Waters Treaty (1960)

    Key Features

    • Signed in 1960 between:
      • India
      • Pakistan
      • Brokered by the World Bank

    River Allocation

    • Eastern Rivers (Exclusive use to India): Ravi, Beas and Sutlej
    • Western Rivers (Primarily for Pakistan, limited use to India): Indus, Jhelum and Chenab
    • India can build:
      • Run of the river hydroelectric projects
      • Non consumptive use projects
         But must share technical details with Pakistan.

    Sawalkot Dam Issue

    • Proposed on the Chenab River in Jammu and Kashmir.
    • Pakistan’s Indus Water Commissioner has written to India seeking:
      • Complete technical details
      • Design specifications
      • Compliance verification under IWT
    [2009] Consider the following statements: 1. The Baglihar Power Project had been constructed within the parameters of the Indus Water Treaty. 

    2. The project was completely built by the Union Government with loans from Japan and the World Bank. 

    Which of the statements given above is/are correct? 

    (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2

  • [11th February 2026] The Hindu OpED: The approaching AI surge, its global consequences

    PYQ Relevance

    [UPSC 2023] Introduce the concept of Artificial Intelligence (AI). How does Al help clinical diagnosis? Do you perceive any threat to privacy of the individual in the use of Al in healthcare?

    Linkage: It falls under GS III-Awareness in the fields of IT, testing conceptual clarity, application of emerging technologies, and governance implications. The article’s focus on AI-driven decision-making and reduced human oversight directly parallels concerns over clinical autonomy and patient data privacy in AI-based healthcare.

    Mentor’s Comment

    Artificial Intelligence is no longer confined to laboratories, it is entering courtrooms, government systems, and battlefields. This topic is crucial because it shows how technology is reshaping institutions, decision-making structures, and even global power equations. Understanding these wider implications makes it highly relevant for GS III.

    Why in the News?

    Artificial Intelligence has reached a structural inflection point comparable to the Industrial Revolution. Large Language Models now process and generate language at speeds exceeding human capacity. Rivalry between the United States and China has intensified in AI development. AI has begun transforming military systems, governance processes, and economic sectors.

    The World Economic Forum (Davos) identified AI as a force multiplier in an ongoing global rupture. Unlike earlier technological shifts, AI directly affects decision-making systems, judicial reasoning, battlefield operations, and autonomous weapons deployment. The scale extends beyond economic disruption to structural transformation of global power equations.

    WHAT MAKES AI DIFFERENT FROM EARLIER TECHNOLOGIES?

    1. Cognitive Automation:
      1. Replaces or supplements human reasoning in speech, language, vision, and analysis.
      2. Extends beyond mechanization into decision-making systems.
    2. Cross-sector Penetration:
      1. Impacts communication, judicial systems, military operations, and industrial production.
      2. Integrates into existing civilizational networks rather than remaining sector-specific.
    3. Speed and Scale:
      1. Enables instantaneous data processing and predictive analysis.
      2. Operates across global networks simultaneously.

    How is AI affecting governance and judicial systems?

    1. Judicial Reliance Risks:
      1. Increases dependence on AI in courtrooms.
      2. Raises risks of hallucinations, fabricated judgments, and improper citations.
    2. Predictive Justice Tools:
      1. AI-based risk assessment systems like the U.S. COMPAS algorithm influences bail and sentencing decisions.
      2. Criticised for racial bias and opaque decision-making
    3. E-Courts & Case Management Automation:
      1. India’s SUPACE (Supreme Court Portal for Assistance in Court’s Efficiency) assists judges in legal research.
      2. Improves efficiency but does not replace judicial discretion.
    4. Administrative Automation:
      1. Enhances policy modelling and governance analytics.
      2. Expands state surveillance and algorithmic control mechanisms.
    5. Algorithmic Public Service Delivery:
      1. AI used in welfare fraud detection systems such as the Netherlands’ SyRI system.
      2. Struck down by a Dutch court (2020) for violating privacy and human rights.
    6. Facial Recognition in Policing:
      1. Delhi Police used facial recognition during protests (2019-20).
      2. Raised concerns over mass surveillance and lack of statutory safeguards.

    How is AI transforming warfare?

    1. Autonomous Weapon Systems:
      1. Enables unmanned aerial vehicles capable of autonomous targeting.
      2. Reduces requirement of direct human intervention.
    2. Battlefield Transformation:
      1. Shifts from traditional warfare to AI-enabled, data-driven operations.
      2. Integrates night vision systems, AI-capable surveillance, and automated targeting.
    3. Drone Warfare Escalation:
      1. Facilitates swarm drones conducting coordinated attacks.
      2. Expands risk from state actors to terror and non-state actors.
    4. Decision Autonomy:
      1. Develops self-sustaining weapon systems capable of independent action.
      2. Reduces human oversight in lethal operations.

    What are the strategic and geo-political implications?

    1. US-China Rivalry: Intensifies technological competition and reconfigures global power hierarchies.
    2. Military Asymmetry: Provides disproportionate advantage to technologically advanced states. It reshapes deterrence dynamics and strategic stability.
    3. Global Order Disruption: It challenges existing balance-of-power structures. It signals transition toward algorithm-driven strategic competition.

    What are the systemic risks identified?

    1. Loss of Human Control: 
      1. Risks displacement of human judgment in governance and conflict. 
      2. Enables autonomous systems beyond human override.
    2. Escalation Risk: Increases probability of accidental conflicts due to automated decision chains.
    3. Ethical Vacuum: Lacks universally accepted regulatory framework. It creates an imbalance between technological capability and normative governance.

    What type of oversight is required?

    1. Institutional Balances: 
      1. Ensures human oversight in high-risk applications.
      2. Establishes accountability mechanisms in judicial and military AI use.
    2. Global Governance Framework:
      1. Facilitates multilateral dialogue on AI regulation.
      2. Prevents arms race in autonomous weapons systems.
    3. Ethical Safeguards:
      1. Incorporates human control principles in lethal technologies.
      2. Strengthens transparency in algorithmic systems.

    Conclusion

    Artificial Intelligence is no longer a peripheral technological development but a foundational force influencing governance systems, military doctrines, and global power hierarchies. Its integration into judicial processes, administrative structures, and autonomous weapon systems signals a transition toward algorithm-driven decision architectures. The challenge before states is not whether to adopt AI, but how to ensure human oversight, ethical accountability, and strategic stability in its deployment. The future of global order will depend not merely on technological superiority, but on the ability to embed AI within robust institutional and normative frameworks.

  • Bangladesh–U.S. Trade Deal: Shift from Indian to U.S. Cotton

    Why in the News?

    Bangladesh has announced that it will replace Indian cotton with U.S. cotton following a new trade deal with the United States. The agreement is expected to boost Bangladesh’s access to the U.S. textile market but may impact cotton trade with India.

    Key Features of the Deal

    1. Tariff Concession

    • Standard tariff fixed at 19 percent, lower than rivals like Cambodia and Indonesia.
    • Zero tariff access if Bangladesh’s textile producers use U.S. cotton or manmade fibre.
    • Strong incentive to shift sourcing away from India and Central Asia.

    2. Strategic Significance

    • U.S. is the largest textile export market for Bangladesh. The deal strengthens Bangladesh’s export competitiveness. Bangladesh does not produce significant cotton domestically, giving it flexibility in sourcing decisions.

    India–Bangladesh Cotton Trade Context

    • Bangladesh is one of the largest importers of Indian cotton and yarn.
    • India exported:
      • $1.6 billion worth cotton yarn (2024)
      • $85 million manmade fibre yarn

    Tit-for-Tat Trade Restrictions (2025)

    • Bangladesh restricted yarn imports from India through land ports (April 2025).
    • India imposed curbs on Bangladeshi readymade garment imports (May 2025).
    • Trade tensions followed a broader diplomatic strain in 2024.

    Impact on India

    • Possible decline in cotton and yarn exports to Bangladesh.
    • Impact on Indian textile supply chains, especially land port trade.
    • Strategic trade competition in South Asia.
    [2020] Consider the following statements: 1. The value of Indo-Sri Lanka trade has consistently increased in the last decade. 

    2. “Textile and textile articles” constitute an important item of trade between India and Bangladesh. 

    3. In the last five years, Nepal has been the largest trading partner of India in South Asia. 

    Which of the statements given above is/are correct? 

    (a) 1 and 2 only (b) 2 only (c) 3 only (d) 1, 2 and 3

  • [10th February 2026] The Hindu OpED: Back on track: On Malaysia India ties

    PYQ Relevance

    [UPSC 2024] Discuss the geopolitical and geostrategic importance of Maldives for India with a focus on global trade and energy flows. Further also discuss how this relationship affects India’s maritime security and regional stability amidst international competition?

    Linkage: UPSC often asks such questions to assess India’s strategic engagement with key maritime neighbours in the context of sea lanes of communication, energy security, and great-power competition in the Indian Ocean Region.

    Mentor’s Comment

    India–Malaysia relations witnessed strain over terrorism discourse and multilateral positioning. The recent high-level visit marks a strategic recalibration with implications for ASEAN engagement, trade negotiations, and counter-terror diplomacy.

    Why in the News?

    After a year of visible strain, ties between India and Malaysia are being recalibrated through Prime Minister Narendra Modi’s 24-hour visit to Kuala Lumpur. The visit is significant because it marks his first overseas destination of the new year and comes after diplomatic discomfort over Malaysia’s remarks on the Pahalgam terror attacks and its outreach to Pakistan.

    What led to the strain in India-Malaysia ties?

    1. Pahalgam Remarks: Malaysian Prime Minister Anwar Ibrahim called for a “full and thorough enquiry” and “de-escalation and meaningful dialogue” between India and Pakistan, which drew unease in New Delhi.
    2. Mediation Offer: Ibrahim offered to mediate if required, signalling an interventionist posture.
    3. Pakistan Outreach: Hosting Pakistani PM Shabaz Sharif in October 2025 intensified diplomatic sensitivities.
    4. Contentious Issues: Continued stay of preacher Zakir Naik, wanted in India under UAPA, remained unresolved but deliberately not discussed publicly.

    How did the visit signal diplomatic repair?

    1. First Overseas Visit: Modi chose Malaysia as his first foreign destination of the year, signalling priority.
    2. Joint Condemnation: Both countries unequivocally condemned terrorism, including “cross-border terrorism.”
    3. Counter-terror Cooperation: Strengthened intelligence sharing and coordination at the UN and FATF.
    4. MoUs Signed: Agreements signed to deepen ties, including in semiconductors.

    What major agreements were signed?

    1. Audio-visual co-production agreement: Promotes joint film and media production to enhance cultural and creative industry collaboration
    2. Disaster management cooperation: Strengthens coordination in disaster response, preparedness and institutional capacity-building
    3. Combating and preventing corruption: Facilitates cooperation in anti-corruption measures, including information-sharing and best practices
    4. UN peacekeeping cooperation: Extends collaboration in United Nations peacekeeping operations through exchange of letters.
    5. Semiconductor cooperation: Establishes a framework to advance collaboration in the semiconductor sector as a strategic priority
    6. International Big Cats Alliance framework agreement: Marks Malaysia’s participation in India’s IBCA initiative to enhance wildlife conservation cooperation
    7. Social security cooperation (ESIC-PERKESO): Enables coordination of social security benefits for Indian citizens working in Malaysia
    8. Vocational education and training (TVET): Enhances collaboration in skills development and technical training through exchange of notes
    9. Security cooperation between National Security Councils: Formalises closer engagement on national security matters.
    10. Health and medicine cooperation: Deepens collaboration in healthcare, medical research and public health systems.
    11. 10th Malaysia-India CEO Forum report: Presents joint recommendations to strengthen bilateral trade and investment ties.

    What economic and technological outcomes emerged?

    1. Semiconductor Cooperation: MoU builds on cooperation between IIT Madras Global and the Advanced Semiconductor Academy of Malaysia.
    2. Trade and AITIGA Review: Visit may revive negotiations on reviewing the ASEAN-India Trade in Goods Agreement (AITIGA), previously impacted by India skipping the ASEAN summit.
    3. Sectoral Expansion: Emphasis on trade, defence, energy, and digital technologies.

    What were the multilateral implications?

    1. ASEAN Engagement: Repair of ties follows India’s absence from the ASEAN summit despite accepting the invitation.
    2. Trade Frictions: Commerce Minister Piyush Goyal’s criticism of FTAs as “badly negotiated” and remarks referring to ASEAN countries as “B-teams” to China had caused unease.
    3. BRICS Coordination: India will chair the BRICS summit; Malaysia’s aspiration for membership was “noted.”
    4. Indonesia’s Entry: Indonesia has already become a BRICS partner country.

    Why is this reset strategically significant?

    1. Geographic Proximity: India-Malaysia cooperation influences broader ASEAN dynamics.
    2. Balancing China Factor: Trade sensitivities and FTA negotiations occur in a context of China’s influence.
    3. Regional Stability: Stronger coordination enhances counter-terror diplomacy and multilateral positioning.

    Conclusion

    The visit reflects calibrated diplomacy: contentious bilateral issues were set aside, counter-terror cooperation reaffirmed, economic engagement deepened, and multilateral coordination restored. The reset positions India and Malaysia for closer engagement within ASEAN and BRICS frameworks amid evolving global alignments.