The Dragon and the Elephant: A Geoeconomic Ballet of Risk, Leverage and Opportunity

Policy Brief No. 212

October 15, 2025

Strategic, sector-specific economic engagement with China can serve dual objectives: advancing India’s export potential and weakening the structural underpinnings of the China-Pakistan nexus. India should leverage economic diplomacy in multilateral fora such as BRICS+, the New Development Bank and the Group of Twenty to condition economic frameworks on merit-based cooperation and responsible development finance. Institutional support must be extended to Indian enterprises to improve commercial readiness in the Chinese market. India must simultaneously deepen hedging partnerships with trusted regional actors, as well as the Association of Southeast Asian Nations, Australia, Japan and the European Union, to reinforce trade resilience and strategic autonomy.

About the Author

S. Yash Kalash is a senior fellow at CIGI and an expert in strategy, public policy, digital technology and financial services. He has a distinguished track record advising governments and the private sector on emerging technologies.