Procurement impacts of trade tensions

In this episode of All Things Policy, Air Marshal T.D. Joseph (Retd) and Brigadier Anil Raman (Retd) examine how growing tensions in U.S.–India relations are affecting India’s efforts to build its military capabilities. President Donald Trump’s turbulent handling of bilateral ties, particularly his trade-driven disruptions, has led many in India to question the wisdom of relying too heavily on the United States for defence capability development.This upheaval has disrupted the steady progress India had been making in defence procurement and technology collaboration. It has also cast uncertainty over strategic partnership mechanisms such as Indus-X and the Defence Bridge, both of which were envisioned as pathways for developing cutting-edge military technologies and fostering a robust defence ecosystem.The impact extends beyond technology and procurement, affecting India’s overall military capabilities and strategic heft. Given current scientific and industrial constraints, and the significant lead enjoyed by other nations, including potential adversaries, complete indigenisation remains unrealistic in the near term.The optimal path forward, the speakers argue, lies in pursuing a dual strategy: first, by diversifying partnerships to include countries such as those in the EU and Japan, which are themselves contending with Trump’s unpredictability and Xi Jinping’s revisionism; and second, by enacting targeted policy reforms that accelerate the growth of India’s domestic defence industry.

All Things Policy is a daily podcast on public policy brought to you by the Takshashila Institution, Bengaluru.

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