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New Delhi between sanctions and sovereignty

By Lucas Leiroz | Strategic Culture Foundation | August 8, 2025

In a world where the international order is increasingly shaped by the struggle between a declining unipolarity and an emerging multipolarity, sanctions have become the main weapon of a superpower that can no longer dictate the course of global affairs by consensus. What was once an exception — economic punishment against states clearly involved in illegal activities or blatant violations of international norms — has become a systemic, arbitrary, and politically motivated practice. And India is now the latest target of this coercive apparatus that defines the foreign policy of the United States.

The repeated use of sanctions by Washington reveals, above all, the exhaustion of its diplomatic capacity. Instead of building bridges with strategic partners, the U.S. chooses to punish, isolate, and sabotage any country that dares to follow an autonomous path.

Sanctions policy as a mechanism of domination

U.S. unilateral sanctions — almost always imposed outside the UN Security Council and in defiance of international law — have become a systematic policy of intimidation. Iran, Cuba, Syria, North Korea, Venezuela, Russia, and China have been the most well-known targets. But the list keeps growing. And India, previously seen as a potential Western ally in the Indo-Pacific, is now beginning to feel the weight of this punitive system.

The logic is simple: the U.S. identifies an “unacceptable” behavior — such as India’s refusal to join the sanctions against Russia — and from there constructs a narrative to justify pressure measures. It could be the defense of “human rights,” the “fight against terrorism,” or, as is now being done with India, the “war on drugs.” The content of the narrative is secondary; what matters is the effect: to break the sovereignty of the targeted country and force it to align with Washington’s foreign policy.

India: the new frontier of coercion

In recent days, Donald Trump has announced sanction packages of up to 50% against India, citing the “need” to punish trade partners of the Russian Federation. These coercive measures came after months of open threats toward India — some directly referencing the Indo-Russian partnership, others hiding behind the mask of the “fight against fentanyl.”

Although the recently announced sanctions are explicitly directed at Indo-Russian energy trade, there’s no guarantee that the U.S. will abandon the fentanyl rhetoric altogether. The “drug control” excuse may easily be revived at any moment to impose further sanctions on New Delhi, especially considering that this was Washington’s initial justification before Trump finally admitted the real motive: punishing India for its ties with Russia.

It must be emphasized that what brought India into Washington’s sanction crosshairs was not any real connection to fentanyl trafficking, but rather its strategic resilience in the face of Western efforts to isolate Russia. Since 2022, India has maintained firm energy and military cooperation with Moscow, refusing to take part in the U.S. and EU-led anti-Russian crusade. This pragmatic position — based on Indian national interests rather than ideological dogma — deeply irritated the Washington establishment.

In response, the U.S. began floating the idea that chemical exports from India could be diverted for fentanyl production — a claim made without solid evidence, but politically convenient. In a classic move, they attempt to turn a country with no proven role in fentanyl trafficking into part of the “drug problem,” paving the way for tariffs and trade restrictions.

This is Washington’s new modus operandi: transform internal crises — in this case, the collapse of the U.S. healthcare system and the opioid epidemic — into diplomatic weapons to force other nations to serve its strategic interests.

Rapprochement with Russia and China: India’s geopolitical response

In the face of this escalation, India appears to have understood the game — and is beginning to react astutely. Not only has it maintained and expanded its agreements with Russia, but it has also signaled a renewed openness to dialogue with China, having Prime Minister Modi announced a visit to Beijing.

This is a geopolitically significant move. India and China have long had a tense relationship, especially concerning the Himalayan border. But in the face of a common enemy — the global regime of unilateral sanctions that threatens the sovereignty of both — realism is starting to prevail. India already plays an active role in forums such as BRICS, the Shanghai Cooperation Organization (SCO), and the G20, but now signals a willingness to deepen its coordination with both Beijing and Moscow.

This marks the emergence of a “new” strategic triangle in the Global South — not based on ideological affinity, but on a shared need to resist the economic coercion promoted by the West. India is not becoming an automatic ally of China, but rather a situational partner in building a multipolar order, where the right to chart one’s own path is no longer subject to Washington’s approval.

Fragmentation of the global system and alternatives to the dollar

This strategic reconfiguration is happening in parallel with the fragmentation of the global financial system. As more countries begin operating outside the SWIFT system, pursue bilateral trade agreements in local currencies, and strengthen alternative development banks, the power of unilateral sanctions is beginning to erode. India has already signed agreements with Russia, Iran, and the UAE to trade in rupees, bypassing the U.S. dollar. BRICS+, with the potential creation of a common currency, is moving in the same direction.

By abusing sanctions as a tool, Washington is accelerating this process. In its attempt to maintain control, it ends up stimulating the formation of new centers of economic and diplomatic power — exactly the opposite of its intended outcome.

The end of the American consensus

The attempt to punish India over a crisis that is, above all, the result of domestic failure in the U.S., is not only an act of hypocrisy but also a major strategic miscalculation. Instead of isolating India, the U.S. is driving it deeper into multilateral frameworks that challenge Western hegemony.

New Delhi has made it clear it will not be turned into a geopolitical vassal. India is a civilizational power with its own interests and will not hesitate to forge partnerships — even with historical rivals — if it means securing strategic autonomy.

Sanctions, once presented as instruments of international justice, have become the primary mechanism for imposing a failed global order — one that seeks to preserve historical privileges at the expense of national sovereignty. The economic attacks on India over its strategic ties with Russia are just one example of this broader reality.

But a new world is taking shape. A world where countries like India, Russia, and China are building bridges over ruins — converging not out of ideological alignment, but from the urgent need to resist the systemic coercion of a declining empire. National sovereignty, more and more, will be asserted not through submission, but through coordinated resistance to the language of sanctions.

India understands this. And by responding with dignity and pragmatism, it shows that the path to strategic independence necessarily involves rejecting the arbitrary use of sanctions as a weapon of economic warfare. The multipolar world is under construction — and there is no room in it for domination disguised as moralism.

August 8, 2025 Posted by aletho | Economics | China, India, Russia, United States | Leave a comment