The US President, Donald Trump, has signed into law the National Defence Authorisation Act for Fiscal Year 2026, marking a significant step in enhancing America's strategic partnerships in the Indo-Pacific region.

This annual defence policy bill underscores a deepened engagement with India, particularly through the Quadrilateral Security Dialogue, commonly known as the Quad. The initiative aims to promote a free and open Indo-Pacific while countering challenges posed by China's assertive actions.

The Act explicitly highlights the broadening of US-India ties, including bilateral and multilateral engagements, joint military exercises, expanded defence trade, and collaboration on humanitarian aid and disaster response.

It emphasises maritime security cooperation, reflecting shared concerns over regional stability. The Quad, comprising the United States, India, Japan, and Australia, was established in 2017 precisely to address China's aggressive behaviour in vital sea lanes and contested areas.

In a dedicated provision, the Act mandates the Secretary of Defence, in coordination with the Secretary of State, to establish a security initiative focused on strengthening defence industrial bases among US allies and partners in the Indo-Pacific.

This initiative seeks to expand capability, capacity, and workforce development, while enhancing supply chain security, interoperability, and resilience. Participating countries explicitly include Australia, Japan, the Republic of Korea, India, the Philippines, and New Zealand, with a process outlined to determine further invitations.

A key section addresses nuclear cooperation under the banner of a 'Joint Assessment Between the United States and India on Nuclear Liability Rules'. Here, the Secretary of State is directed to create and maintain a joint consultative mechanism within the existing US-India Strategic Security Dialogue.

This body will convene regularly to evaluate the implementation of the 2008 Agreement for Cooperation between the US and Indian governments on peaceful uses of nuclear energy, signed in Washington.

The consultative mechanism's primary focus lies in exploring opportunities for India to align its domestic nuclear liability rules with international norms. It will also devise strategies for bilateral and multilateral diplomatic engagements to analyse and implement these alignments. Within 180 days of the Act's enactment, and annually thereafter for five years, the Secretary of State must submit a detailed report on this joint assessment to Congress.

The legislation further outlines a 'sense of Congress on Defence Alliances and Partnerships in the Indo-Pacific region'. It instructs the Secretary of Defence to intensify efforts that leverage America's comparative advantages in strategic competition with China. This includes fostering robust alliances through mechanisms like the Quad, positioning them as central to regional security architecture.

Financially, the Act authorises appropriations for the Department of War (DoW), Department of Energy national security programs, Department of State, Department of Homeland Security, the Intelligence Community, and other agencies.

President Trump described it as enabling his 'Peace Through Strength' agenda, protecting the homeland from threats, bolstering the defence industrial base, and eliminating wasteful programs that undermine military ethos.

The Act's definition of an 'ally or partner nation' is notably inclusive, encompassing members of the Organisation for Economic Cooperation and Development, the Government of the Republic of India, and any nation designated as such by the Secretary of State. This broad categorisation facilitates flexible cooperation beyond traditional treaty allies.

For India, this development holds substantial implications, particularly in defence indigenisation and technology transfers. The emphasis on supply chain resilience aligns with New Delhi's 'Make in India' initiatives, potentially unlocking joint ventures in advanced manufacturing and critical technologies. Enhanced Quad exercises could accelerate interoperability between Indian platforms, such as Tejas fighters or BrahMos missiles, and US systems.

On the nuclear front, the consultative mechanism addresses long-standing US concerns over India's Civil Liability for Nuclear Damage Act of 2010, which has deterred American reactor suppliers. Alignment with international norms could pave the way for projects like those involving Westinghouse or GE-Hitachi, boosting India's clean energy ambitions under its growing civil nuclear program.

Geopolitically, the Act reinforces the Quad's role as a counterbalance to China's Belt and Road Initiative and territorial claims in the South China Sea and beyond. It signals Washington's commitment to India as a net security provider in the Indian Ocean Region, amid rising tensions along the Line of Actual Control.

Trump's endorsement of the bill comes at a pivotal moment, with India navigating complex ties with Russia amid the Ukraine conflict and Western sanctions. Deeper US-India defence integration could diversify New Delhi's procurement options, reducing reliance on traditional suppliers while advancing co-production deals.

The National Defence Authorisation Act for Fiscal Year 2026 positions US-India relations at the forefront of Indo-Pacific strategy, fostering a multifaceted partnership that spans military, industrial, and diplomatic domains. As implementation unfolds, it promises to reshape regional power dynamics with enduring implications for global security.

Based On PTI Report