From India’s economic concerns over US tariffs to Israel’s push to consolidate control over Palestinian territories, the past week has been marked by high-stakes developments across global politics and trade.
Indian Markets Hit by Tariff Pressure
Indian markets remain under strain after the Trump-Putin summit in Alaska (Aug 15) ended without progress on Ukraine or relief from US secondary tariffs. New Delhi faces an additional 25% duty on goods, effective August 27, as a penalty for continuing oil imports from Russia.
While India grapples with tariffs, Washington and Beijing announced an extension of their 90-day truce on steep reciprocal tariffs, underscoring the leverage China holds in global trade. China has sharply cut agricultural imports from the US, forcing President Trump to push Beijing to boost soybean purchases.
India’s Multi-Alignment Strategy
The US tilt toward China and Trump’s tougher stance on India have raised questions about New Delhi’s strategic calculations. Once seen as a central player in America’s Indo-Pacific policy to counter Beijing, India is now recalibrating.
- SCO Engagement: Prime Minister Narendra Modi is expected to attend the Shanghai Cooperation Organisation (SCO) summit in Tianjin later this month.
- China Talks: Chinese Foreign Minister Wang Yi is scheduled to visit India on August 18 for discussions with NSA Ajit Doval.
Despite friction, India continues to balance between forums like the US-led Quad (with Japan and Australia) and China-backed SCO. Analysts note Modi’s earlier stance that “India has never considered itself bound to a single security alliance” reflects this long-running multi-alignment policy.
Israel Expands Control Beyond Gaza
Meanwhile, Israel has continued to extend settlements from Gaza into the West Bank, effectively sidelining the possibility of a two-state solution. The move has drawn international criticism, with rights groups warning it further entrenches occupation and undermines peace prospects.
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