UPSC Previous Year Question | Mains GS1 | 2026
The centre of global trade is gradually shifting from the Atlantic region to the Indo-Pacific region. Examine this statement. (Answer in 250 words)
Answer
Introduction
The Indo-Pacific has gained weight in global trade because of Asian production, consumption, ports, supply chains and strategic sea lanes, although the Atlantic remains economically central.
Drivers Of Shift
East and Southeast Asia became manufacturing and electronics hubs; China, India and ASEAN generate large markets. Containerisation, port infrastructure and value chains link the Pacific and Indian Ocean. Energy flows from West Asia to East Asia pass through the Indian Ocean, while the Malacca, Hormuz and Bab-el-Mandeb routes connect major economies. Regional agreements and digital trade reinforce integration.
Qualifications
The Atlantic retains advanced financial centres, high-value services, major trade between Europe and North America, and deep institutional networks. The Indo-Pacific faces geopolitical rivalry, chokepoint vulnerability, piracy, sanctions, protectionism, climate risks and infrastructure gaps. Trade is therefore being rebalanced, not simply relocated.
Implications
India must improve logistics, ports, manufacturing competitiveness and resilient supply chains while maintaining freedom of navigation and inclusive regional institutions. Strategic autonomy and minilateral cooperation can protect commercial interests without converting the region into a militarised bloc.
Keywords
Indo-Pacific, maritime chokepoints, supply chains, ASEAN, freedom of navigation
Topics: globalisation, indo-pacific, maritime trade, world geography