January 11, 2026
India’s foreign policy, politics and economy to collide in 2026, analysts warn
US tariffs, strained ties and regional instability may test Modi government’s balancing act India is likely to face a year in which the lines between foreign policy, domestic policy and the economy become increasingly blurred, making it harder for Prime Minister Narendra Modi’s government to offset diplomatic setbacks with domestic successes, according to a Chatham House analysis. THE report said 2025 was a painful foreign policy year, marked by a four-day standoff with Pakistan in May and an arguably more contentious downturn in India’s relations with the United States. The Trump administration has imposed 50% tariffs on India over its












