The shift in international geopolitics and the centrality of the Asia-Pacific region have given India an increasingly prominent role in global events. The country is not only a powerful democracy, it is also the most populated democracy in the world. Furthermore, despite maintaining a relatively low profile in international relations so far, it aspires to be a leader in a key region of the world.
Not least for this reason, India has gradually veered away from its traditional non-aligned stance toward a policy of “multi-alignment” based on targeted partnerships and relations with a multitude of actors. The United States surely emerges as a major strategic ally thanks to the common goal of containing the rise of China. The Indo-American technological partnership hinges on sectors that are pivotal to the future – such as artificial intelligence and semiconductors – and is reflected in the Quad security dialogue set up during the first Trump administration and strengthened under Biden.
Yet, close cooperation with the United States, not least on security, cannot be interpreted as a military alliance. Indeed, India maintains a cautious attitude in international relations and enjoys good relations with Russia, an essential counterweight in case of tensions with China. India’s multi-alignment strategy also includes countries like Saudi Arabia and the United Arab Emirates, thanks to a collaboration anchored in investments.
This strategy of relations with the West is part of the Asia-Middle East-Europe Corridor (AIMEC), a project poised to be an international game-changer. What it represents for India is an opportunity to further interact on the global value chain, acting as a bridge between the West and the Global South. AIMEC is currently stalled due to conflicts in the Middle East, but it still holds promise; indeed, it has piqued considerable interest in the United States. AIMEC is key from a geopolitical standpoint, being complementary to the Abraham Accords that the new Trump administration plans to revive. Also, it can help the Western economies secure working supply chains. Emblematic in this regard is how India has evolved in less than one decade from net importer of technology to exporter of technological goods for over 20 billion dollars a year.
It is within this framework that India-Europe relations fall. New Delhi is working to flank its historic and privileged relationship with the United Kingdom with closer attention to the countries of the European Union. AIMEC represents a particular advantage for Italy, ideally located at a terminal point of this corridor, and its Mediterranean prospects.
Collaboration between Italy and India has historically been solid, with bilateral trade today standing at 40 billion dollars. Yet, there are wide margins for growth: in the first place, given its dynamism, stable democracy, ensured accessibility thanks to a widespread use of the English language and abundance of talent in innovative sectors, India is an appealing market for Italian investments. Furthermore, a growing Indian middle class is enjoying increased capacity for spending in luxury sectors, which are amply dominated by the Made in Italy label.
Nevertheless, relations need to evolve into a strategic partnership in which Italy is able to make a contribution to the development of the Indian economy. Italy’s fabric of small and medium-sized enterprises can provide strategic skills to the Indian manufacturing sector. Other sectors of potential collaboration include innovative ones ranging from pharmaceuticals to critical infrastructure to aerospace: take the example of the Genova-Mumbai underwater cable that reduces the vulnerability of global communications thanks to a resilient and secure infrastructure. In the aerospace sector, Italy can contribute not only to reinforcing partnerships based on defense and the promotion of regional security, but also to supplying key technologies, such as precision farming for instance, to that fast-developing economy.
A durable Italy-India collaboration – one that begins with trade and industrial partnerships – must, in any case, be part of a broader framework. Such a framework should encompass research centers, the recruitment and exchange of talent and inter-institutional dialogue. Good relations, even on a personal level, between the leaders of the two governments provide an excellent foundation for building solid relations – a strategic opportunity not to be underestimated from the standpoint of growing global competition and the redrawing of international alliances.