Mumbai, February 14 – Rising geopolitical tensions involving the United States, China, and Russia are prompting Europe and Canada to accelerate their economic and strategic engagement with India, positioning the country as "a viable third pole," according to a new report.
The report from National Interest argued, "With the United States, China, and Russia creating a hostile world, Brussels and Canada have no choice but to deepen ties with India."
"India offers scale without the geopolitical and normative baggage associated with China. It is not a substitute for the US security umbrella, nor a replica of China's manufacturing ecosystem, but it represents a viable third pole in an increasingly fragmented global economy," the report said.
India is suitable for this role due to its rapidly expanding manufacturing base, relatively low labor costs with improving legal infrastructure, technological capacity, and a vast domestic market, it added.
The report said that Europe and Canada are facing the brunt of US unpredictability and the political costs of deeper engagement with China, leading them to accelerate strategic economic ties with India such as trade deals and defence-tech cooperation.
"US President Donald Trump's pressure on India over Russian oil has grown noticeably restrained – especially when contrasted with his far harsher treatment of Europe over the last few months," the report noted.
Faced with US tariff pressure and political estrangement, leaders from France, Britain, Germany, and Spain have recently travelled to Beijing or are in preparations for a meeting, seeking market access.
However, these European leaders may face political estrangement, as they have for years spoken of "de-risking" from China, citing supply-chain vulnerabilities, national security concerns, and Beijing's alignment with Moscow.
"At home, European governments face criticism from voters and human rights groups who accuse leaders of prioritizing profits over democratic values. The charge that Europe is willing to overlook repression for commercial gain has become politically costly," the report noted.
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