India’s External Affairs Minister, S Jaishankar, has identified a series of key consequences stemming from the US presidential election results, viewing them as opportunities to strengthen the already burgeoning US-India relationship. In a recent address to business leaders and CEOs in Sydney, Jaishankar outlined four crucial areas of impact that he believes will shape the future of the bilateral partnership: supply chain reordering, geopolitical hedging, digitization, and talent mobility.
Supply Chain Shifts: India Ready for Disruption
Jaishankar pointed out that the ongoing reordering of global supply chains, a trend accelerated by the pandemic and geopolitical tensions, is likely to intensify following the US election. This shift towards regionalized supply chains, aimed at mitigating disruptions in global networks, presents a significant opportunity for India. The country is well-positioned to benefit from this reordering, potentially leading to greater economic integration and bolstering its role as a manufacturing hub.
Geopolitical Hedging and Digitization
Jaishankar also highlighted the growing importance of geopolitical hedging in US-India relations, as nations navigate the complex global landscape. In this context, India and the US are expected to further strengthen their strategic partnership, leveraging each other’s strengths to navigate global challenges.
On the digital front, Jaishankar emphasized the accelerating role of digitization in the bilateral relationship, predicting increased collaboration between the two nations in the tech sector. India’s booming digital economy, with over 11-12 billion monthly transactions, including those facilitated by street vendors using QR codes, makes it a highly attractive partner for US tech companies.
Talent Mobility: A Key Focus Area
Jaishankar also addressed the issue of talent mobility, acknowledging that despite trends towards de-globalization, the demand for skilled workers will persist. He suggested that even with tighter immigration policies, skilled workers from India could continue to find opportunities in the US. The growing demand for talent in the US, coupled with India’s vast pool of skilled professionals, presents a win-win scenario for both countries.
India’s Growth: A Decade of Transformation
Beyond the global landscape, Jaishankar highlighted India’s impressive progress over the last decade. He pointed to the rapid expansion of India’s educational institutions, with capacity doubling since 2014, effectively creating two new colleges each day.
Infrastructure and Digitalization Boom in India
Further bolstering India’s economic potential, Jaishankar cited the country’s significant infrastructure development, including the daily construction of 27-28 kilometers of highways and 12-14 kilometers of railway tracks. In aviation, India has added 75 new airports in the last decade, with ambitious plans for further expansion.
These developments, coupled with India’s booming digital economy, demonstrate its readiness to seize opportunities presented by the evolving global landscape. The US election results, while bringing about uncertainties, also open doors for strengthening the strategic partnership between India and the US, benefiting both nations in the process.
