cold war 2.0 – Air Marshal's Perspective

May 7, 2025May 7, 2025

670: COLD WAR 2.0: MILITARY ASPECTS AND IMPACT ON INDIAN SECURITY

My contribution to the book

“Cold War 2.0 and India”

The world is witnessing the emergence of a new Cold War, often referred to as Cold War 2.0, primarily driven by intensifying geopolitical, economic, and technological rivalries between the United States and China, with Russia playing a significant role. Unlike the ideological battle of the original Cold War, this modern conflict is fuelled by strategic competition for global influence, military dominance, and economic control. Key drivers of Cold War 2.0 include China’s rise as a military and technological superpower, the US-led effort to counterbalance Beijing’s influence, and Russia’s challenge to Western dominance. Arms build-ups, strategic alliances, hybrid warfare, and advancements in emerging technologies like artificial intelligence, space warfare, and hypersonic missiles mainly characterise Cold War 2.0. For India, this renewed great-power rivalry presents both opportunities and challenges. Understanding the military dimensions of Cold War 2.0 is crucial and necessary for analysing its impact on global stability, the evolving nature of warfare, and the strategic recalibrations required for nations like India to safeguard their security interests.

Drivers of Cold War 2.0

The re-emergence of great power competition in the 21st century has led to a period characterised by heightened strategic rivalry between the United States and China, with Russia playing a significant but secondary role. Unlike the original Cold War, which was primarily an ideological struggle between capitalism and communism, this new iteration is driven by geopolitical, economic, technological, and military factors. These factors have reshaped the global order and fuelled an environment of sustained strategic hostility, making Cold War 2.0 a defining feature of contemporary international relations.

One of the most significant drivers of Cold War 2.0 is the rise of China as a global superpower, challenging the longstanding dominance of the United States. Over the past four decades, China has undergone an economic and military transformation that has propelled it to the forefront of global politics. The Belt and Road Initiative (BRI), China’s massive infrastructure and investment project spanning Asia, Africa, and Europe, has been a key instrument in expanding Beijing’s influence. While China claims that the BRI is purely an economic initiative, Western policymakers see it as a geopolitical tool to increase China’s leverage over developing nations. Furthermore, China’s military expansion, most notably in the South China Sea, has alarmed the United States and its regional allies. The Chinese Communist Party (CCP) has also aggressively pursued technological dominance, particularly in fields such as artificial intelligence, 5G, and quantum computing. The rapid ascendance of China as a comprehensive power has disrupted the global balance, triggering countermeasures from the United States, including trade restrictions, sanctions on Chinese technology firms, and strengthened military alliances in the Indo-Pacific. This great power rivalry, rooted in China’s challenge to U.S. hegemony, is a fundamental driver of Cold War 2.0.

The second major driver of this new Cold War is the resurgence of Russia as a revisionist state seeking to undermine Western influence and reassert its geopolitical ambitions. Although Russia lacks comparative economic power, it remains a formidable military force with vast energy resources and a willingness to engage in aggressive foreign policies. The war in Ukraine has strengthened the perception of a new Cold War, with Russia aligning itself more closely with China, Iran, and North Korea to counterbalance Western power. Russia’s actions have not only escalated tensions with the United States and Europe but have also contributed to a broader global realignment, with countries being forced to take sides in this emerging bipolar struggle.

The erosion of American unipolarity and the fragmentation of the liberal international order have also played a crucial role in driving Cold War 2.0. Following the collapse of the Soviet Union in 1991, the United States emerged as the world’s sole superpower, ushering in a period of unchallenged American dominance. However, U.S. global influence has waned in recent years due to domestic political polarisation, costly military interventions, and economic challenges. The wars in Iraq and Afghanistan drained American resources. They damaged its credibility, while the rise of populist movements and political divisions have weakened Washington’s ability to project unified global leadership. The decline of unipolarity has created a more competitive and unstable international system, where power is increasingly distributed among multiple actors, setting the stage for heightened strategic rivalry.

Economic decoupling and technological competition between the United States and China constitute another major driver of Cold War 2.0. The global economy, once characterised by deep interdependence, is now experiencing a shift toward fragmentation as Washington and Beijing seek to reduce their reliance on each other. The U.S. has imposed sweeping restrictions on Chinese technology firms, particularly in semiconductor manufacturing, artificial intelligence, and telecommunications, citing national security concerns. In response, China has accelerated its efforts to achieve self-sufficiency in critical industries, investing heavily in indigenous innovation and supply chain resilience. This technological decoupling is not just an economic issue—it has profound military and strategic implications, as control over emerging technologies will determine the balance of power in future conflicts. The race for supremacy in AI, quantum computing, cyber warfare, and space exploration is now a central battlefield in Cold War 2.0, with both sides striving to outmanoeuvre each other in the next frontier of global dominance.

Finally, the ideological and political divide between democratic and authoritarian systems has reinforced the divisions of Cold War 2.0. The United States and its allies promote liberal democracy, human rights, and a rules-based international order. Meanwhile, China and Russia advocate for state sovereignty, authoritarian stability, and non-interference in domestic affairs. The contrast between these governance models has led to intensified ideological competition, with both sides seeking to expand their influence globally. The U.S. has framed its rivalry with China and Russia as a struggle between democracy and autocracy, rallying allies to counter Beijing’s and Moscow’s influence in international institutions. Meanwhile, China’s “Global Security Initiative” aim to portray the West as a declining power, promoting an alternative world order.

Military Aspects of Cold War 2.0

The evolving geopolitical landscape of the 21st century has increasingly drawn comparisons to the original Cold War. The military dimension of Cold War 2.0 is particularly critical, as it shapes global security dynamics through arms races, power projection, strategic alliances, and hybrid warfare. The military aspect of this renewed competition manifests in several key areas.

One of the most visible military aspects of Cold War 2.0 is the modernisation and expansion of nuclear arsenals. While the U.S. and Russia still maintain the largest stockpiles of nuclear weapons, China’s rapid nuclear build-up has become a central concern for Western policymakers. Unlike during the first Cold War, when the U.S. and Soviet Union were the primary nuclear superpowers, the emergence of China as a third major nuclear player significantly altered the strategic calculus. Beijing has also been expanding its missile silos, developing hypersonic delivery systems, and pursuing advanced nuclear-powered submarines, signalling its intent to establish a more robust second-strike capability. At the same time, Russia’s suspension of the New START treaty, coupled with its threats of tactical nuclear weapon use in Ukraine, has reignited fears of a new nuclear arms race. The U.S., in response, is modernising its nuclear triad, investing heavily in next-generation intercontinental ballistic missiles (ICBMs), stealth bombers, and submarine-launched ballistic missiles. These developments indicate that nuclear deterrence strategies are again at the forefront of great power competition.

Beyond nuclear weapons, conventional military capabilities have also been undergoing significant transformation. The trend is towards increased investment in stealth aircraft, long-range precision strike systems, autonomous combat platforms, and integrated air and missile defence networks. For its part, China has undertaken one of the most extensive military modernisation programs in history. The People’s Liberation Army (PLA) has rapidly expanded its naval and air forces. Despite economic constraints, Russia has focused on asymmetric warfare strategies, leveraging advanced air defence systems, hypersonic missiles, and electronic warfare capabilities.

A defining feature of Cold War 2.0 is the race for military superiority in emerging technologies such as artificial intelligence (AI), quantum computing, and autonomous warfare. Unlike the first Cold War, where military advancements were primarily centred on nuclear and conventional weaponry, digital and cyber capabilities are expected to shape modern conflicts. AI-driven autonomous drones, robotic combat units, and cyber warfare tools have become central to military planning. Quantum computing, if fully realised, could render current encryption methods obsolete, drastically altering cyber defence strategies. The cyber domain has emerged as a battlefield, with state-sponsored cyber attacks targeting critical infrastructure, defence networks, and economic systems. As nations develop offensive and defensive cyber capabilities, the risk of cyber escalation and strategic instability increases significantly.

Hybrid warfare, a strategy that blends conventional military tactics with cyber, economic, and information warfare, has also become a defining characteristic of Cold War 2.0. China employs hybrid tactics involving disinformation campaigns, cyber-attacks, and proxy militias, leveraging economic coercion, political influence operations, and grey-zone warfare. The U.S. and its allies have responded with countermeasures, including economic sanctions, cyber counteroffensives, and the strengthening of information warfare capabilities. Unlike the Cold War of the 20th century, where direct military confrontations were largely avoided, the modern iteration features a greater degree of low intensity. These asymmetric conflicts blur the line between war and peace.

Impact of Cold War 2.0 on Indian Security

The emergence of a second Cold War has profound implications for India’s security. One of the most immediate effects of Cold War 2.0 on India is the increased militarisation of the Indo-Pacific region. As the United States seeks to contain China’s growing military and economic influence, it has strengthened its ties with allies and partners. This has enhanced defence cooperation, intelligence sharing, and joint military exercises. It has drawn India into the broader US-China confrontation, making it a target for Chinese actions, such as aggressive border moves, cyber warfare, and economic coercion. The 2020 Galwan Valley clash between Indian and Chinese forces was a stark reminder of how geopolitical tensions manifest as direct security threats for India.

Another major concern is the growing China-Pakistan nexus, which has intensified in response to Cold War 2.0. China has significantly increased its defence, economic, and nuclear cooperation with Pakistan, which directly impacts India’s security. The China-Pakistan Economic Corridor (CPEC), a flagship project of Beijing’s Belt and Road Initiative (BRI), runs through Pakistan-occupied Kashmir (PoK), challenging India’s territorial claims. China’s supply of advanced military hardware, including fighter jets, submarines, and missile systems, has strengthened Pakistan’s military capabilities, altering South Asia’s conventional and nuclear balance. There are also concerns that China could use Pakistan as a proxy to destabilise India.

India’s maritime security has also been affected as Cold War 2.0 extends into the Indian Ocean Region (IOR). China has expanded its naval footprint through bases in Djibouti and potential dual-use facilities in Sri Lanka, Pakistan (Gwadar), and Myanmar. The People’s Liberation Army Navy (PLAN) has increased its submarine patrols and surveillance activities near India’s maritime boundaries, challenging India’s dominance in its strategic backyard.

Technological competition in Cold War 2.0 also affects India’s security, particularly in artificial intelligence (AI), cyber security, and space warfare. The US and China are engaged in a technological arms race, and India must navigate this landscape carefully. Increased focus on Indigenous defence production under “Atmanirbhar Bharat” (self-reliant India) is a direct consequence of this competition.

Diplomatically, Cold War 2.0 presents India with both challenges and opportunities. While the US-India partnership has grown stronger, India remains cautious about being seen as a mere US ally. India has historically valued its strategic autonomy, as seen in its continued engagement with Russia despite Western pressure. India relies on Russian military hardware, including S-400 missile systems, and has resisted aligning too closely with US-led security pacts. However, this balancing act is becoming increasingly difficult as Cold War 2.0 escalates, forcing India to make difficult choices.

Economically, Cold War 2.0 presents risks for India’s trade and supply chain security. The US-China decoupling has disrupted global trade, affecting India’s access to key technologies, raw materials, and markets. The push for friend-shoring and near-shoring has led companies to diversify supply chains, offering India an opportunity to attract investments as an alternative manufacturing hub. However, China remains one of India’s largest trading partners, and an outright economic confrontation would be costly. India must, therefore, navigate a complex economic environment, securing its interests without alienating key partners.

Conclusion

Cold War 2.0 has fundamentally reshaped the global security landscape, with military competition emerging as a key aspect of great-power rivalry. Driven by China’s rise, Russia’s resurgence, and the United States’ efforts to maintain its strategic dominance, this new geopolitical contest is marked by military build-ups, shifting alliances, and technological arms races. The military developments have made the world more unstable, with regional conflicts and proxy wars serving as potential flashpoints for broader confrontations. For India, Cold War 2.0 presents both security threats and strategic opportunities. The growing China-Pakistan nexus and Beijing’s assertiveness along the Line of Actual Control (LAC) pose direct military challenges to India. The militarisation of the Indian Ocean, the threat of cyber warfare, and disruptions to global supply chains further complicate India’s security environment. To navigate this evolving conflict, India must bolster its military capabilities, strengthen regional partnerships, and maintain its strategic autonomy to avoid outright confrontation. As Cold War 2.0 continues to unfold, the global military balance will be shaped by how nations adapt to this new era of great-power competition, making it essential for India to proactively safeguard its national security while leveraging opportunities to enhance its geopolitical standing.

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Information and data included in the blog are for educational & non-commercial purposes only and have been carefully adapted, excerpted, or edited from reliable and accurate sources. All copyrighted material belongs to respective owners and is provided only for wider dissemination.

References:-

Khosla Anil, “Cold War Redux: Military Aspects of Cold War 2.0”, 16 Dec 24, https://55nda.com/blogs/anil-khosla/2024/12/16/558-cold-war-redux-military-aspects-of-cold-war-2-0/

Allison, Graham. Destined for War: Can America and China Escape Thucydides’s Trap? Houghton Mifflin Harcourt, 2017.

Kaplan, Robert D. The Return of Marco Polo’s World: War, Strategy, and American Interests in the Twenty-First Century. Random House, 2018.

Mearsheimer, John J. The Tragedy of Great Power Politics. Updated ed., W.W. Norton & Co., 2014.

Gady, Franz-Stefan. “The Future of High-End Warfare: What the Next US-China Conflict Could Look Like.” The Diplomat, 2023.

Doshi, Rush. The Long Game: China’s Grand Strategy to Displace American Order. Oxford University Press, 2021.

Mazarr, Michael J., et al. Understanding the Emerging Era of International Competition: Theoretical and Historical Perspectives. RAND Corporation, 2018.

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December 16, 2024December 16, 2024

558: COLD WAR REDUX: MILITARY ASPECTS OF COLD WAR 2.0

Pics Courtesy Net

Presented my Paper during the National Conference on Cold War 2.0 at Reva University 0n 14 Dec 24.

“Cold War 2.0” refers to the resurgence of strategic competition, primarily between the United States and China, but also involving Russia and other global players. The military repercussions of Cold War 2.0 are profound, impacting global security, defence strategies, alliances, and the development of cutting-edge technologies. As the U.S., China, Russia, and other nations adjust to this renewed strategic competition. This modern geopolitical rivalry differs from the original Cold War but still shares significant military aspects.

Cold War 2.0

While ‘Cold War 2.0’ resembles the original Cold War, it is a distinct and modern iteration marked by new issues and complexities. This contemporary version shares some similarities with its predecessor but also differs in crucial ways, reflecting the evolution of global dynamics.

Key Drivers of Cold War 2.0

- Technological and Economic Rivalry. Unlike the ideological battle of capitalism vs. communism during the original Cold War, today’s competition revolves around technological dominance and economic power. The U.S. and China compete fiercely over technologies like AI, quantum computing, semiconductors, and 5G networks, considered strategic assets.

- Military Posturing. While direct military confrontation is unlikely, the U.S. and China (and, to some extent, Russia) are investing heavily in modernising their militaries. This includes advancements in cyber capabilities, nuclear arms, space defence, and hypersonic weapons.

- Influence and Alliances. The U.S. is strengthening alliances through initiatives like AUKUS (Australia-UK-U.S. security pact) and Quad (U.S., Japan, India, and Australia), which focus on countering China’s influence in the Indo-Pacific. China, in turn, builds influence through projects like the Belt and Road Initiative (BRI), aiming to expand economic influence in Asia, Africa, and Europe.

- Cyber Warfare and Information Manipulation. Cyber attacks, espionage, and misinformation campaigns are central to Cold War 2.0. Often attributed to state-backed actors, these efforts target critical infrastructure, government agencies, and private enterprises to gain a strategic advantage.

- Space Race. Space is now a potential battleground, with the U.S. and China investing in capabilities to assert dominance in outer space. This includes satellite technology, anti-satellite weapons, and plans for potential lunar exploration bases.

Differences from the Original Cold War

- Interconnected Economies. Unlike the U.S. and Soviet Union, which had limited economic ties, the U.S. and China are deeply interwoven economically. Trade dependencies complicate outright antagonism and make the situation more complex.

- Ideological Tension. While ideology still plays a role (with China promoting an authoritarian governance model), the rivalry is not purely ideological. The focus is more on pragmatic control over global norms, standards, and resources rather than on spreading a single political ideology worldwide.

- Multipolar World. The Cold War had two superpowers, but today’s world is multipolar. Other major players, including the European Union, India, and Brazil, add nuance to global power dynamics and complicate the binary nature of the U.S.-China rivalry.

Implications

- If this Cold War 2.0 continues, it could have wide-ranging and potentially destabilising consequences.

- Global Supply Chain Decoupling. Increased tariffs, restrictions on technology transfers, and efforts to localise supply chains might lead to a more bifurcated global economy.

- Fragmented Technology Ecosystems. Competing standards for technologies (like internet governance or 5G) could lead to incompatible systems in different parts of the world, affecting everything from telecommunications to digital commerce.

- Increased Regional Tensions. Areas like Taiwan, the South China Sea, and Ukraine (regarding U.S.-Russia relations) may become flashpoints as major powers assert control in contested regions.

Military Aspects of Cold War 2.0

Key military aspects of Cold War 2.0 include an intensified arms race in hypersonic weapons, cyber warfare capabilities, and space militarisation. Additionally, the rise of proxy conflicts, strategic military alliances, and an emphasis on grey-zone tactics—such as economic coercion and information warfare—underscore the multidimensional nature of this renewed standoff. These dynamics are reshaping global security frameworks with far-reaching implications for international stability.

Heightened Risk of Military Confrontations. China’s militarisation of the South China Sea and its increased pressure on Taiwan have elevated the risk of confrontations with the U.S. and its allies, who patrol these regions to uphold freedom of navigation. The Russia-Ukraine war has spurred NATO to reinforce Eastern European defences, increasing the chances of miscalculations and escalations. Countries like Japan, South Korea, and Germany are enhancing their military capabilities in response to major powers, creating more densely armed regions. As nations become more intertwined through complex alliances and forward deployments, the potential for crises to escalate quickly grows. Miscalculations or misunderstandings could lead to rapid military responses, increasing the risk of conflict.

Expansion of Alliances and Security Pacts. The war in Ukraine reinvigorated NATO, leading countries like Finland and Sweden to join or seek membership. It has also increased defence spending, especially among European NATO members. The U.S. is strengthening alliances with countries like Japan, Australia, South Korea, and India to counterbalance China’s growing influence in the South China Sea and Indian Ocean. Initiatives like AUKUS (Australia, U.K., and U.S.) exemplify new defence partnerships focused on technology sharing, particularly in nuclear-powered submarines and cyber warfare. China, meanwhile, has increased its military presence in the region and conducted joint drills with Russia.

Proxy Conflicts and Regional Instabilities. Cold War 2.0 has revived proxy conflicts, with the U.S., Russia, and China supporting opposite sides in conflicts in the Middle East, Africa, and Southeast Asia. This increases regional instability as these powers compete for influence. Similar to Cold War-era proxy wars, there are areas where indirect conflicts play out, such as arms support in Yemen, Syria, and parts of Africa. Techniques like information warfare, economic pressure, and covert operations are increasingly used, allowing states to destabilise rivals without conventional conflict.

Increased Military Spending and Arms Development. Heightened tensions are prompting nations to boost defence budgets. The U.S. and China lead in military spending, while Russia, Japan, India, and several European countries also increase expenditures. The modernisation of Military-Industrial Complexes (MICs) reflects a race to develop next-generation weaponry, cyber-security capabilities, and space-based technologies. The strategic objectives include staying technologically ahead, ensuring supply security, and reinforcing national defence ecosystems. Defence sectors in the U.S., China, and Russia are seeing significant investment, but high spending can strain national budgets and lead to economic vulnerabilities, particularly in countries with weaker economies.

Securing Rare Earth Elements and Critical Minerals. Rare earth elements (REEs) are essential for producing advanced military technology, including missile guidance systems and radar. China currently dominates the production and processing of REEs, which has prompted the U.S., EU, and Japan to invest in alternative sources and develop domestic processing capabilities. The U.S. has signed agreements with Canada and Australia, significant allies with REE deposits, to establish REE supply chains outside Chinese control. The EU has also launched initiatives to develop rare earth mining and processing within its borders.

Supply Chain Dependencies and Resilience. The globalised defence industry, especially for high-tech components, may become vulnerable to disruptions and sabotage, impacting military readiness. Global supply chains are increasingly segmented and politicised, driven by the need to reduce reliance on potentially hostile or unstable sources. Supply chain security now plays a central role in defence strategy, and there’s a trend toward “friend-shoring,” where critical industries are moved closer to allied or domestic markets. Countries increasingly pursue joint development and production initiatives to strengthen defence supply chains, combining resources, technological expertise, and market access to reinforce allied military capacities. Western countries are working to reduce dependence on Chinese manufacturing for critical goods, particularly in areas like semiconductors, healthcare, telecommunications, and defence equipment. The U.S.-led Indo-Pacific Economic Framework (IPEF) and other initiatives aim to build alternative trade and supply networks, encouraging countries like India, Vietnam, and Mexico to take on more prominent roles in global supply chains.

Challenges to Arms Control and Non-Proliferation Efforts. Non-state actors and smaller nations could acquire technologies like drones, cyber tools, and precision-guided munitions, amplifying threats to global security. With the INF Treaty and Open Skies Agreement no longer in force and New START potentially at risk, the arms control framework is fragmenting. This may encourage additional nations to pursue nuclear capabilities.

Emerging Technologies in Warfare. The U.S. and China invest heavily in hypersonic missiles, artificial intelligence (AI), autonomous weapon systems, quantum computing, and advanced cyber-security. The U.S. aims to stay technologically superior, while China is rapidly advancing, aiming to match or exceed Western capabilities in these critical areas. Artificial intelligence, autonomous drones, and robotics are core technologies with applications for surveillance, targeting, and combat scenarios. China and Russia have tested hypersonic missiles, which can reach speeds above Mach 5 and evade conventional missile defence systems, reshaping strategic calculations. Autonomous drones, unmanned submarines, and AI-driven decision-making tools are also reshaping military tactics. AI is transforming intelligence analysis, logistics, and even combat operations. These technologies offer asymmetrical advantages and can reduce crisis response times, raising the possibility of automated escalation.

Nuclear Arms Race and Deterrence. Both China and the U.S. have expanded and modernised their nuclear arsenals. China has built hundreds of new missile silos and enhanced delivery systems, while the U.S. is investing in new nuclear-capable missiles, bombers, and submarines. Like the original Cold War, nuclear powers are re-emphasizing deterrence and signalling capability, with periodic tests of intercontinental ballistic missiles (ICBMs) and hypersonic weapons. Existing treaties, like New START, have faltered or faced resistance in extending to all major powers, leading to a less regulated nuclear landscape.

Cyber Warfare and Information Warfare Escalation. Modern warfare increasingly includes cyber and information warfare. Cyber capabilities are critical, with cyber espionage, network sabotage, and data theft frequently targeting government and military systems. Countries are building offensive and defensive cyber forces, with China, Russia, and the U.S. leading in cyber warfare capabilities. NATO has invested in its Cyber Operations Canter and collaborates on cyber defence with private cyber-security firms, reflecting the changing nature of warfare where digital and information domains are as crucial as traditional military strength.

Space Militarisation. Space has become a critical defence frontier. All major powers are developing space-based assets. The U.S., China, and Russia have established space-focused military agencies that manage satellite communications, space-based sensors, and potentially space-based weapons. The U.S. Space Force and similar programs in China and Russia signify the militarisation of space. Countries are investing in anti-satellite (ASAT) weapons and systems to ensure secure and competitive space-based communication, navigation, and intelligence capabilities. This militarisation of space requires sophisticated technology and collaboration across traditional defence contractors and tech innovators.

Maritime and Air Control. China has militarised artificial islands and increased its naval presence, heightening tensions with neighbouring countries and the U.S. Military assets like bombers, fighter jets, and aircraft carriers are being used to display power, as seen in increased air and naval operations in contested regions.

Impact of Cold War 2.0 on India’s Security

India finds itself uniquely amid the ongoing geopolitical tensions of “Cold War 2.0.” As one of the world’s emerging powers, India faces opportunities and security challenges from this evolving U.S.-China rivalry and the reassertion of Russian influence.

Tensions with China. Cold War 2.0 has escalated tensions between India and China, particularly along their disputed border in the Himalayas, where standoffs and skirmishes have become increasingly common (e.g., the 2020 Galwan Valley clash). China has expanded its military presence along the Line of Actual Control (LAC), forcing India to respond by enhancing its military infrastructure and deploying additional troops to secure the region. With cyber warfare a vital tool in Cold War 2.0, India must be prepared for cyber attacks from China that target critical infrastructure, government systems, and private companies.

Strategic Partnerships and Alliances. The U.S.-China rivalry has led India to deepen its engagement with the Quadrilateral Security Dialogue (Quad) alongside the U.S., Japan, and Australia. This non-military alliance is a significant strategic move that would help India counterbalance China’s influence, particularly in the Indo-Pacific region, while benefiting from intelligence sharing, joint military exercises, and defence technology transfers. India’s growing defence partnership with the U.S. is evident in agreements like the Communications Compatibility and Security Agreement (COMCASA) and Basic Exchange and Cooperation Agreement (BECA), which enhance interoperability and intelligence-sharing between the two countries.

Naval and Maritime Security Concerns. China’s expanding naval presence in the Indian Ocean and initiatives like the Belt and Road Initiative (BRI), primarily through ports in Pakistan, Sri Lanka, and Myanmar, present urgent strategic challenges for India. China’s military presence in these regions could jeopardise India’s control over critical sea lanes, affecting its trade and energy security. In response, India has to invest heavily in bolstering its naval capabilities and forging partnerships with countries such as the U.S., Australia, and Japan to ensure a Free and Open Indo-Pacific.

Technology and Cyber-security Vulnerabilities. India faces the challenge of securing its technology infrastructure, mainly as it develops its 5G networks. Given U.S.-China tensions over companies like Huawei, India must carefully navigate its partnerships to secure technology free from foreign influence or vulnerabilities. With cyber warfare playing a central role in Cold War 2.0, India has to heighten efforts to enhance its cyber-security framework. Partnerships with the U.S. and other allies focus on intelligence-sharing and cyber defence strategies to protect critical national infrastructure from Chinese and other state-sponsored cyber threats.

Nuclear Deterrence and Security. As U.S.-China tensions spur advancements in nuclear and hypersonic weapons, there’s increased pressure on India to maintain credible nuclear deterrence, especially given its proximity to China and its longstanding rivalry with Pakistan, a Chinese ally. India’s nuclear policy may face adjustments to account for these growing regional threats. The “No First Use” policy could be revisited to enhance deterrence, while advanced missile and early warning systems are likely priorities.

Economic and Trade Implications. Amid efforts to reduce dependencies on China, Cold War 2.0 could open opportunities for India to become a manufacturing hub. The “China plus One” strategy followed by many multinational corporations has increased foreign investment in India, providing economic benefits that indirectly strengthen India’s security capabilities. India’s “strategic autonomy” policy—balancing relations with the U.S. and Russia — is increasingly difficult to maintain. The U.S. expects alignment with its policies toward China, while Russia’s growing alignment with China complicates India’s traditional ties with Moscow, especially in defence procurement.

Regional Security and Stability in South Asia. China’s economic and military investments in Nepal, Bangladesh, Sri Lanka, and Myanmar challenge India’s influence in its neighbourhood. These developments pose potential security risks as China could gain leverage over India’s neighbouring countries, potentially encircling it in a “string of pearls” strategy. U.S.-China rivalry has left a security vacuum in Afghanistan that complicates India’s security calculus, with Pakistan and China seeking to increase their regional influence. India is concerned that increased Chinese and Pakistani influence in Afghanistan could lead to heightened terrorism risks along its borders.

Modern technology and multipolar dynamics define this Cold War-like rivalry, making it less ideological but more complex than its 20th-century counterpart. The focus on non-traditional warfare and regional tensions underscores the evolving nature of military competition in the 21st century. The Cold War 2.0 has prompted a comprehensive transformation of military-industrial complexes and a strategic diversification of supply chains. The current MICs are more integrated with advanced technology sectors, collaborating with private companies to maintain a competitive edge in AI, cyber-security, and space capabilities. Simultaneously, the need for secure, resilient supply chains has led to efforts toward friend-shoring and regional production, reducing dependencies on China and minimising vulnerabilities to disruptions. These shifts indicate a move toward greater self-reliance and alliance-based defence economies, underscoring how interconnected MICs and supply chains have become integral to economic security and national defence in a highly competitive global landscape. These Cold War 2.0 repercussions are shaping a more uncertain and contested world, with direct consequences for international security, diplomacy, and the stability of global power structures.

Think it Over

Are we in the midst of Cold War 2.0

or in the beginning of World War 3.0?

Your valuable comments are most welcome.

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References and credits

To all the online sites and channels.

References:

Allison, G. (2015). The Thucydides trap: Are the U.S. and China headed for war? The Atlantic.

Gaddis, J. L. (2005). The Cold War: A new history. Penguin Books.

Kaplan, R. D. (2018). The return of Marco Polo’s world: War, strategy, and American interests in the twenty-first century. Random House.

Mearsheimer, J. J. (2014). The Tragedy of Great Power Politics (Updated Ed.). W.W. Norton.

Nye, J. S. (2012). The future of power in the 21st century. Foreign Affairs, 91(2), 90–104.

U.S. Department of Defence. (2022). Summary of the 2022 National Defence Strategy of the United States of America. Washington, DC.

SIPRI (Stockholm International Peace Research Institute). “World Military Spending Reaches All-Time High.” Press Release, 2023. https://www.sipri.org.

NATO. NATO 2030: United for a New Era. NATO Reflection Group, 2020.

Friedberg, Aaron. “The Growing Cold War with China.” Foreign Policy, 18 June 2021.

Economist. “The New Cold War.” The Economist, 22 March 2023.

Council on Foreign Relations. “China’s Military Modernization.” CFR Backgrounder, updated July 2023. https://www.cfr.org.

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November 28, 2024November 28, 2024

541: COLD WAR REDUX: TRAITS AND DRIVERS OF COLD WAR 2.0

My Article published on the Indus International Research Foundation website on 27 Nov 24.

“Cold War 2.0” describes the re-emergence of intense geopolitical competition between major powers, mainly the U.S. and China, and Russia’s increasingly assertive foreign policy. This framework parallels the original Cold War, which saw the United States and the Soviet Union locked in ideological and strategic rivalry. However, the current scenario has distinctive traits shaped by global interconnectedness, economic interdependence, and digital warfare.

Economic Interdependence and Competition. Unlike the U.S.-Soviet rivalry, the current era is marked by deep financial ties between rival states. For instance, the U.S. and China have significant trade and investment links, creating a complex relationship between competitors and economic partners. This has led to policies like “decoupling” and “friend-shoring,” where nations look to limit economic dependencies with strategic rivals, especially in critical sectors like technology and energy.

Tech and Cyber Dominance. The competition now prominently features digital spaces and technological development. China’s rise in artificial intelligence, 5G networks, and quantum computing has led the U.S. and its allies to push for greater control over digital infrastructure and intellectual property. Cyber security is another battlefield, with accusations of hacking and surveillance shaping security policies and alliances.

Military Posturing and Arms Races. The military build-up is also central to Cold War 2.0. While nuclear capabilities remain crucial, the focus has expanded to space warfare, hypersonic missiles, and advanced drone technology. For example, the U.S. Indo-Pacific Strategy counters China’s growing military influence in Asia. At the same time, Russia’s recent actions in Ukraine have led NATO to strengthen its military presence on Europe’s eastern flank.

Ideological Clashes. While less ideological than the original Cold War, there is a growing divergence between the democratic and authoritarian governance models, particularly as China promotes its model as an alternative to Western liberalism. This has led to ideological contestation in digital governance, human rights, and trade rules, with each power attempting to influence international norms and institutions to reflect its values.

Strategic Alliances and Blocs. The current rivalry sees the emergence of new alliances and a revival of older ones, such as NATO and the Quadrilateral Security Dialogue (Quad) among the U.S., Japan, India, and Australia, which aims to counterbalance China’s influence in the Indo-Pacific. Similarly, China and Russia are strengthening their ties, often working together in the United Nations and other forums to counter Western initiatives.

Resource Control and Economic Leverage. Access to resources such as rare earth metals, energy, and food is another area of strategic competition. China’s Belt and Road Initiative (BRI), which funds infrastructure projects across Asia, Africa, and Latin America, is seen as expanding its influence by creating economic dependencies. The U.S. counters with its initiatives, such as the Build Back Better World (B3W) program, which offers alternatives for development financing.

Impacts on Global Relations. The emergence of Cold War 2.0 has led to shifting alliances, with some nations choosing sides and others attempting a non-aligned approach to maintain autonomy. Middle powers like India, Brazil, and South Africa find themselves balancing between the two giants, shaping new multilateral dynamics. Meanwhile, the increased emphasis on national security in trade and technology policies is reshaping globalisation, potentially leading to more isolated economic blocs.

Comparison of Drivers of the Earlier and Current Cold War

The drivers of the original Cold War (1947–1991) between the U.S. and the Soviet Union differ from those of today’s “Cold War 2.0,” primarily between the U.S. and China, with Russia playing a significant but secondary role. These geopolitical, ideological, and technological rivalries reveal continuities and marked differences.

Sl No

Drivers

Differences

Ideological Rivalry

Earlier Cold War: The U.S. and the Soviet Union were divided by sharply contrasting ideologies: capitalism and democracy versus communism and authoritarianism. Each superpower sought to promote its ideology globally, often through proxy wars, propaganda, and cultural influence campaigns.

Current Cold War: Although there’s still an ideological component, the divide is less rigid. The U.S. advocates liberal democracy, while China’s governance model blends authoritarianism and state-led capitalism. Rather than openly promoting its ideology as a direct alternative, China emphasises economic development and “pragmatic” governance as models for stability and growth. There’s less overt ideological export and more influence through economic interdependence and development projects like the Belt and Road Initiative (BRI).

Geopolitical Power Struggles

Earlier Cold War: The rivalry largely revolved around Europe, with proxy conflicts extending to Asia, Latin America, and Africa. The focus was to prevent either side from gaining influence in these regions, as seen through U.S. and Soviet interventions in Korea, Vietnam, Afghanistan, and other hotspots.

Current Cold War: The U.S. and China focus on the Indo-Pacific region as the primary sphere of influence, with attention to Southeast Asia, Taiwan, and the South China Sea. The U.S. is strengthening alliances with Japan, Australia, India (QUAD), and other Indo-Pacific partners, while China is extending its influence through its BRI and increasing its military presence in disputed territories. Russia, meanwhile, has focused on asserting control in Eastern Europe, as seen in the Ukraine conflict, though this rivalry is more geographically constrained.

Economic Rivalry and Interdependence

Earlier Cold War: The U.S. and Soviet Union had limited economic interactions, creating two largely independent blocs. Economic influence was exerted through aid programs (like the U.S. Marshall Plan) and political-economic treaties with allied countries. Global trade and economies were less intertwined, allowing for distinct capitalist and socialist economic systems.

Current Cold War: Economic interdependence is a defining factor. China and the U.S. are each other’s largest trading partners, and both economies are deeply embedded in global supply chains. Despite economic competition, each depends heavily on the other. This dynamic has led to “selective decoupling,” where each side aims to reduce dependence on critical technologies and resources without severing all economic ties. This is especially prominent in sectors like semiconductors, 5G, and renewable energy technologies.

Technology and Cyber Warfare

Earlier Cold War: The technological competition focused on space, nuclear capabilities, and conventional military technology. The “Space Race” and “Arms Race” were significant components, with the Apollo moon landing and arms treaties like SALT (Strategic Arms Limitation Talks) symbolising the intense scientific and military rivalry.

Current Cold War: The focus has shifted to advanced technologies like artificial intelligence (AI), quantum computing, and cyber security. Cyber warfare has become a core area of conflict, with cyber-attacks, espionage, and influence operations playing significant roles. There’s competition for dominance in 5G networks and critical infrastructure control, with concerns about digital sovereignty, surveillance, and influence operations on social media. This “Tech Race” lacks the clear-cut technological “wins” of the Space Race, but it’s arguably more pervasive and impactful on civilian and governmental life worldwide.

Military Strategies and Posturing

Earlier Cold War: The focus was on nuclear arms buildup and deterrence through Mutually Assured Destruction (MAD), with proxy wars to avoid direct confrontation. NATO and the Warsaw Pact were established, and military posturing often involved nuclear tests, displays of military hardware, and highly symbolic confrontations (e.g., the Cuban Missile Crisis).

Current Cold War: While nuclear deterrence remains, military competition now involves a broader range of strategies, including space militarisation, hypersonic missile development, and significant advancements in drone and cyber warfare. China is focused on expanding its naval capabilities and power projection in the South China Sea, while the U.S. strengthens its presence in the Indo-Pacific. Russia’s invasion of Ukraine has led to a renewed focus on NATO’s defensive posture in Europe.

Alliances and Proxy Conflicts

Earlier Cold War: Alliances like NATO and the Warsaw Pact formalised the division of East and West. Many proxy conflicts emerged, particularly in developing regions, where both superpowers supported opposing sides to prevent ideological shifts. Examples include the Korean and Vietnam Wars and the Soviet invasion of Afghanistan.

Current Cold War: Alliances are less rigid, and there’s an emphasis on “flexible” partnerships. The U.S. builds security frameworks like the Quad and AUKUS (Australia, the U.K., and the U.S.) while strengthening alliances like NATO. China, meanwhile, does not engage in formal military alliances but leverages economic influence through the BRI and diplomatic coalitions like the Shanghai Cooperation Organization (SCO). Russia uses its influence in post-Soviet states and controls Eastern Europe and the Middle East.

Propaganda and Influence Operations

Earlier Cold War: The U.S. and Soviet Union engaged in direct propaganda campaigns, including Radio Free Europe, cultural exchanges, and global information wars to win hearts and minds.

Current Cold War: Information warfare is more complex and digital. Social media platforms have become battlegrounds for influence, with disinformation campaigns, election interference, and social polarisation strategies targeting rivals. China and Russia conduct sophisticated operations, leveraging global media channels, online platforms, and soft power to shape narratives. The U.S., in turn, supports global media initiatives that promote democratic governance and transparency.

Cold War 2.0 has introduced new complexities into international relations, where intertwined economies, advanced technology, and a globalised world order shape competition. The drivers of today’s “Cold War 2.0” reflect a multi-dimensional competition that diverges from the earlier Cold War in its deep economic interdependence, technology-centric rivalry, and more fluid alliances. The ideological divide is softer but still significant, with the U.S., China, and Russia vying for global influence. This rivalry unfolds in a digitally connected world where technology and information warfare play unprecedented roles, resulting in a complex geopolitical landscape with intensified tensions and interdependencies. Unlike the bipolar world of the original Cold War, today’s scenario is multipolar, involving several influential states that resist being drawn entirely into either camp. The result is a fluid, high-stakes environment that demands careful diplomacy and strategic restraint.

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References and credits

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References:

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