Daijiworld Media Network - Kolkata

Kolkata, Nov 29: External affairs minister S Jaishankar on Saturday offered a candid assessment of the shifting global landscape, asserting that the world has entered a phase where political calculations routinely outweigh economic logic. He made the remarks after receiving an Honorary Doctorate from IIM-Calcutta at its Joka campus.

Jaishankar said major powers are redefining their behaviour in ways that unsettle established global frameworks. The US, he noted, is increasingly relying on direct, bilateral engagements rather than multilateral mechanisms, while China continues to operate by its own playbook with growing assertiveness. This, he argued, has left other nations unsure whether to focus on the visible rivalry between the two powers or the quieter negotiations that shape the balance of influence.

Amid the crosscurrents of globalisation, strategic fragmentation and supply concerns, countries are adopting a more cautious, contingency-driven approach. Jaishankar pointed to the surge in interest in free trade agreements as evidence that nations are seeking flexible pathways to protect their economic interests without taking definitive sides.

He also highlighted the vulnerabilities of global supply chains. With China accounting for nearly a third of worldwide production, he said the world faces heightened challenges around reliability and resilience—issues worsened by conflicts and climate disruptions. The shifting landscape in energy production, where the US has turned from a major importer to a major fossil-fuel exporter while China dominates renewable technologies, has further complicated global dependencies.

Trade, too, has become more turbulent, the minister noted. Volatile tariff regimes, widespread use of economic sanctions, asset seizures and new financial technologies are now central to global commerce. These risks, he said, reinforce the importance of India building its own industrial strength.

Framing India’s ‘Make in India’ campaign as a strategic answer to these disruptions, Jaishankar said that enhancing national power, reducing vulnerabilities and expanding diplomatic influence are essential to navigating the new global environment. He stressed that a nation aspiring to major-power status must possess a strong industrial base—a principle he said was not always sufficiently recognised before 2014.

To strengthen this base, he urged Indian industry to think long-term, deepen domestic supply chains and complement global participation with homegrown innovation, design and research.

In closing, Jaishankar underscored the need for India to diversify supply sources and forge new trade and connectivity partnerships that align with both strategic imperatives and economic aspirations. As India climbs the global economic ladder, he said, the demand for such partnerships will only intensify—requiring decisions rooted in prudence and a people-first vision.