China’s Expanding Footprint in South Asia: Perceptions and Responses of India and the Smaller South Asian States

Abstract

This paper investigates the diverse perceptions and reactions of India and the smaller South Asian neighbors to China’s expanding footprint in South Asia. While India clearly views China’s BRI-led economic linkages with the smaller neighbors as serious threats to its traditional sphere of influence, the smaller neighbors welcome China’s offer of development cooperation to accelerate the pace of their badly needed economic development. The paper argues that the more China gets economically enmeshed in South Asia through the BRI the stronger is the prospect of economic integration with India’s smaller neighbors and a corresponding decrease in India’s influence. The paper employs the competitive geopolitical and geo-economic theoretical frames of neo-mercantilism and liberal institutionalist strategy to capture and explain the dynamics of diverse reactions and responses generated by China’s growing involvements in South Asia.