Regional Comprehensive Economic Partnership Agreement and India - What were the reasons for its exit?

Author(s)	Upasana Detha
Country	India
Abstract	India’s 2019 withdrawal from the Regional Comprehensive Economic Partnership (RCEP) balanced economic vulnerabilities against strategic autonomy. This paper analyses whether the exit was a pragmatic retreat or a missed opportunity, using trade data and regional integration theory. Persistent trade deficits, negotiation challenges, and geopolitical tensions with China drove the decision, yet risks marginalizing India from Indo-Pacific supply chains. Domestic reforms and selective re-engagement are recommended to enhance India’s global trade competitiveness.
Keywords	RCEP, India, Trade Policy, Strategic Autonomy, Regional Integration, Indo-Pacific, China, Supply Chains, India’s Act East Policy, Trans-Pacific Partnership (TPP), Trade Deficit, Rules of Origin, Non-Tariff Barriers, Tariff Differential System, Services Sector Liberalization, Global Value Chain
Published In	Volume 8, Issue 4, July-August 2026
Published On	2026-07-10
DOI	https://doi.org/10.36948/ijfmr.2026.v08i04.83452

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