New Delhi, December 5, 2025 – Under the golden hues of a crisp winter sun, Russian President Vladimir Putin stepped onto Indian soil for his first visit since the Ukraine war’s escalation in 2022, greeted by a bear hug from Prime Minister Narendra Modi at Palam airport. The embrace, captured in a moment of unscripted warmth, symbolised the enduring resilience of a partnership forged in the Cold War’s fires and tempered by today’s global tempests. Over two days of high-stakes diplomacy, the leaders inked a cascade of agreements, unveiling the ambitious “Vision 2030” economic blueprint — a roadmap to catapult bilateral trade to $100 billion by 2030 and mutual investments to $50 billion by 2025. As Modi put it during their Hyderabad House summit, “This framework will diversify, balance, and sustain our economic bonds, turning potential into prosperity.”
Russia's President Vladimir Putin shakes hands with India's Prime Minister Narendra Modi ahead of their meeting at Hyderabad House in New Delhi, India, December 5, 2025. (Photo by Reuters)
The summit, the 23rd in the annual India-Russia series, unfolded against a backdrop of Western sanctions squeezing Moscow’s energy exports. Putin, addressing a joint press conference, reaffirmed Russia’s role as New Delhi’s steadfast fuel ally: “Russia is a reliable supplier of oil, gas, coal, and everything required for the development of India’s energy.” He pledged “uninterrupted shipments” to fuel India’s booming economy, a direct riposte to U.S. President Donald Trump’s August executive order slapping 50% tariffs on certain Indian goods — half punitive for New Delhi’s voracious appetite for discounted Russian crude. India, now the world’s second-largest buyer after China, imported nearly 36% of its crude from Russia in 2024, averaging 1.8 million barrels per day and saving billions amid global volatility. Yet these imports have drawn ire from Washington, which views them as bankrolling Moscow’s war effort. “The United States itself buys nuclear fuel from us,” Putin quipped, highlighting the perceived hypocrisy as U.S. and EU firms quietly import Russian liquefied natural gas and enriched uranium worth billions.
Modi, ever the diplomat, sidestepped the oil row but lauded energy security as “a strong and important pillar of the India-Russia partnership.” Their restricted and delegation-level talks spanned defense modernisation, nuclear expansion, and logistical leaps, yielding over a dozen pacts on trade, health, shipping, and chemicals. The Vision 2030 pact eyes balanced growth: India’s exports to Russia — skewed at a mere $4.88 billion against $63.8 billion in imports last fiscal — could surge in pharmaceuticals, machinery, and perishables. Modi, speaking at the India-Russia Business Forum, exuded optimism: “We set a $100 billion trade goal for 2030 last year, but our momentum suggests we’ll smash it ahead of schedule.” Bilateral commerce, already at a record $68.7 billion in FY 2024-25 — sixfold the pre-pandemic figure — stands poised for diversification, with rupees and rubles dominating 96% of settlements to dodge dollar sanctions.
Defense, the bedrock of this “special and privileged strategic partnership,” stole the spotlight. Russia, India’s perennial arms benefactor with a 36% market share from 2020-2024, committed to overhauling New Delhi’s arsenal across army, navy, air defence, and aviation. The duo pledged a pivot from mere transfers to co-development and joint production, aligning with Modi’s “Aatmanirbhar Bharat” self-reliance drive. Key on the agenda: accelerating deliveries of the remaining S-400 squadrons — three of five already inducted, proving pivotal in May’s India-Pakistan skirmish — and exploring Su-57 stealth fighters. A joint statement heralded “reorienting military-technical cooperation” toward R&D and manufacturing of spares in India, echoing successes like BrahMos missiles (a 50.5% Indian stake) and AK-203 rifles, with 35,000 delivered by mid-2024. “We’re building for exports too,” noted Defence Minister Rajnath Singh after his pre-summit huddle with counterpart Andrei Belousov. This evolution — from buyer-seller to co-creators — fortifies India’s defences while funnelling technology transfers, even as Russia grapples with Ukraine-induced supply strains.
Energy collaborations gleamed brighter than ever. Putin spotlighted the Kudankulam Nuclear Power Plant in Tamil Nadu — India’s largest atomic venture — as a “flagship project.” Two of its six VVER-1000 reactors hum at 2,000 MW since 2013 and 2016; four more under construction promise 6,000 MW total by decade’s end. Coinciding with Putin’s arrival, Rosatom airlifted the first fuel batch for Unit 3 via seven flights, under a 2024 lifetime supply pact. “Bringing Kudankulam to full throttle will power India’s growth impressively,” Putin declared, teasing small modular reactors (SMRs), floating plants, and nuclear tech for medicine and agriculture. These initiatives, immune to fossil-fuel sanctions, underscore Moscow’s pivot to clean energy as a sanctions-proof lifeline.
Logistics got a turbo-boost with nods to the International North–South Transport Corridor (INSTC), a 7,200-km ship-rail-road artery slashing Mumbai-to-Moscow transit to 25 days — 40% faster and 30% cheaper than Suez routes. Signed in 2000 by India, Iran, and Russia, the INSTC now spans 13 nations, with 2024 volumes doubling to ferry coal, rice, and pharma. Recent milestones: Russia’s inaugural coal trains via INSTC docked in Mumbai last July, and eastern spurs through Central Asia beckon Indian exports. “INSTC isn’t against anyone — it’s for connectivity,” Modi stressed, linking it to Chabahar port’s expansion for Afghan and Central Asian access.
High-tech horizons expanded too. Pacts on AI, space, and critical minerals dovetail with “Make in India,” eyeing job creation and regional hubs. A free trade deal with the Eurasian Economic Union (EAEU) looms, while tourist visas — 30-day e-visas and group options for Russians — aim to thaw cultural exchanges post-pandemic. Putin, wrapping with a state banquet, invoked multipolarity: “New power centres emerge; the global balance shifts rapidly. Our ties harm no one — others must grasp this.” Modi echoed, underscoring UN, BRICS, and SCO synergies, with Russia backing India’s UNSC bid.
Analysts hail the summit as a masterstroke of strategic autonomy. “It reinforces India-Russia bonds without alienating the West,” says ORF’s Aleksei Zakharov, noting diversification offsets oil dips. Yet challenges lurk: U.S. tariffs could inflate costs by 0.4% per $10/barrel oil hike, per RBI estimates, complicating trade talks. EU curbs on Russian-refined products from January 2026 threaten $14.3 billion in Indian exports. Still, as Putin departs, the air buzzes with promise. In a world of fractured alliances, this duo charts a third way — pragmatic, unyielding, and visionary. Will Vision 2030 eclipse sanctions’ shadow? New Delhi bets yes.
