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SCO Summit 2025: Reshaping Global Order Through Multipolar Cooperation

Author: VisionIAS Editorial Team

Sep 2, 2025Current Affairs10 min read

SCO Summit 2025: Reshaping Global Order Through Multipolar Cooperation

The 25th Shanghai Cooperation Organisation (SCO) Summit in Tianjin emphasized the need for a multipolar global order.

The 25th Shanghai Cooperation Organisation (SCO)Summit 2025, held in Tianjin, China, marked a significant shift in global politics. The event brought together leaders from 10 member nations, namely, China, India, Russia, Iran, Pakistan, Belarus, Kazakhstan, Uzbekistan, Kyrgyzstan, and Tajikistan.

These countries adopted the Tianjin Declaration, addressing security, economic and social challenges while promoting regional cooperation and a multipolar world order. The SCO operates on the “Shanghai Spirit” principles of mutual trust, mutual benefit, equality, consultation, respect for cultural diversity, and pursuit of common development, offering an alternative to Western-dominated multilateral institutions.

Table of Contents

Brief History of SCO

The Shanghai Cooperation Organisation emerged from the “Shanghai Five” mechanism established in 1996, initially comprising China, Russia, Kazakhstan, Kyrgyzstan, and Tajikistan to resolve border disputes. Subsequently, Uzbekistan became a member in 2000. The SCO was formally founded on June 15, 2001.

Originally focused on regional security and counter-terrorism, the organization expanded its mandate to include economic cooperation, cultural exchanges, and energy security. India and Pakistan joined as full members in 2017, followed by Iran in 2023 and Belarus in 2024.

SCO Summit 2025: A New Global Framework

Security Cooperation: Combating Common Threats

The SCO Summit 2025 reaffirmed the organization’s commitment to combating terrorism, separatism, and extremism. The Tianjin Declaration condemned terrorist attacks across member states and emphasized the “inadmissibility of double standards” in counter-terrorism efforts.

This collective security approach addresses shared concerns about stability. Member states face diverse security challenges, from cross-border terrorism to separatist movements and extremist ideologies. The SCO framework provides a platform for intelligence sharing, joint exercises, and coordinated responses.

The organization’s anti-terrorism efforts extend beyond security measures to include countering terror financing and addressing online radicalization. These approaches reflect the evolving nature of security threats in the digital age.

Technological Cooperation: AI and Digital Economy Focus

The summit emphasized technological cooperation, particularly in artificial intelligence (AI) and digital economy development. The Declaration reaffirmed commitments to strengthen AI cooperation while emphasizing “equal rights of all countries to develop and use AI.”

This technological focus reflects the SCO’s adaptation to 21st-century challenges and opportunities. Member states agreed to cooperate on reducing AI risks while improving security and accountability. The initiative includes establishing collaboration centers for AI applications and promoting open-source AI models.

Economic Integration: Trade and Investment Expansion

Development Strategy until 2035: The SCO Summit 2025 also focused on expanding trade and investment cooperation. The signing of the SCO’s Development Strategy until 2035 provides a roadmap for economic integration across multiple sectors. Member states committed to reducing trade barriers, facilitating investment flows, and developing regional value chains. These efforts aim to increase intra-SCO trade volumes and reduce dependence on external markets and currencies.

SCO Development Bank: The SCO members have proposed the establishment of the SCO Development Bank and intensify consultations on its functioning. China pledged financial backing, with President Xi announcing that Beijing will provide 2 billion yuan ($280 million) of free aid to member states this year and a further 10 billion yuan of loans to an SCO banking consortium. The bank aims to reduce member states’ reliance on dollar transactions and Western financial systems.

Energy Cooperation Platform: The SCO supports expanding cooperation in energy, strengthening the stability of energy supply chains, and promoting a stable global energy market. A statement on sustainable energy development and a roadmap for the energy cooperation strategy until 2030 were approved. The importance of fair energy transition and renewable energy development is emphasized.

India’s Strategic Engagement: Three-Pillar Approach

The Indian Prime Minister’s participation in the summit demonstrated India’s commitment to strengthening SCO cooperation. Addressing the Summit, the Prime Minister highlighted India’s approach to strengthening cooperation under the SCO framework through a comprehensive three-pillar framework:

Security Pillar: India emphasized the need for firm and decisive action against terrorism in all manifestations. The PM called for coordinated efforts against terror financing and radicalization, while expressing gratitude to member countries for their solidarity following the Pahalgam terror attack. He stressed there should be no double standards in dealing with terrorism and urged accountability for countries perpetrating and supporting cross-border terrorism.
Connectivity Pillar: Highlighting connectivity’s role in fostering development and building trust, India strongly supports projects such as Chabahar port and the International North-South Transport Corridor as alternatives to traditional trade routes.
Opportunity Pillar: The PM emphasized opportunities in start-ups, innovation, youth empowerment, and shared heritage under the SCO umbrella. He proposed establishing a Civilizational Dialogue Forum to foster greater people-to-people ties and cultural understanding among member states.

India’s balanced approach reflected its strategic autonomy, engaging with the SCO’s agenda while maintaining independent positions on global issues.

Significance of SCO Summit 2025

Global South Leadership

The SCO Summit 2025 positioned member states as leaders of the Global South, advocating for reformed international institutions and representative global governance. This role extends beyond cooperation to global reform advocacy.

Member states called for reformed multilateral institutions that better represent developing nations’ interests. This includes proposals for United Nations Security Council reform, international financial institution governance changes, and new frameworks for technology governance. The Chinese President, in the SCO Plus Meeting also proposed a Global Governance Initiative (GGI), for a more just and equitable global governance system.

With the inclusion of Laos, the organization’s expansion to 10 members and 17 partners across Central Asia, South Asia, Southeast Asia, and the Middle East demonstrates its global influence. This geographic diversity strengthens the SCO’s claim to represent Global South perspectives.

Russia-India-China (RIC) Triangle

The SCO Summit 2025 highlighted dynamics between the organization’s three largest economies. The cooperation between Chinese President Xi, Russian President Putin, and Indian Prime Minister on common global issues signals a renewed vigour for exploring alternative partnership models.

India’s participation reflected its commitment to strategic autonomy, balancing engagement with the SCO’s while maintaining independent positions. The Indian Prime Minister’s bilateral meeting with Xi Jinping marked their first encounter on Chinese soil in seven years, signaling thawing in bilateral relations.

Challenges and Limitations

Despite achievements, the SCO Summit 2025 revealed internal challenges. Competing national interests, bilateral disputes, and varying development levels create obstacles to integration.

Border disputes between member states, different approaches to connectivity projects, and varying relationships with external powers complicate decision-making. The organization’s consensus-based approach sometimes results in lowest-common-denominator outcomes.

Trade imbalances, particularly China’s position in commerce, create asymmetries that smaller members struggle to address. Balancing China’s leadership with other members’ interests remains a challenge.

Toward a Multipolar World Order

The SCO Summit 2025 outcomes suggest implications for global governance evolution. The organization’s institutional innovations, from development banking to technology cooperation platforms, provide templates for alternative international structures.

The summit’s emphasis on sovereignty, non-interference, and mutual benefit offers an approach that appeals to many developing nations seeking alternatives to conditional aid and structural adjustment programs.

As global power shifts toward Eurasia and emerging economies, the SCO’s role in facilitating this transition becomes important. The organization provides a framework for major powers to coordinate positions on global issues while addressing challenges.

Conclusion

The SCO Summit 2025 marked a moment in the evolution toward a multipolar world order. Through institutional innovations, technological cooperation initiatives, and diplomatic positions, member states demonstrated their commitment to reshaping international governance.

The summit’s outcomes extend beyond cooperation to challenge existing global structures and propose alternatives. From development banking to AI governance, the SCO is positioning itself as a leader in 21st-century institutional innovation.