THE emergence of Indo-Pacific as a newer geopolitical construct gave Mongolia a favourable push to step up its efforts for entering into strategic partnership with the ‘Third Neighbours’.
For, such partnership would enhance the scope of Mongolia’s reliance on the third neighbours in ensuring its participation in evolving regional integration in the Indo-Pacific region. Initially, Mongolian foreign policy paid much attention on pursuing balanced relations vis-à-vis the two geographic neighbours- China and Russia.
But in order to balance off these two neighbours a new idea stepped to the fore which came to be known as the ‘Third Neighbour’ policy, perhaps the most innovative foreign affairs approach in the country’s history. In the wake of China threat perception, though mainly economic, during the decade of 2000, Mongolia revised its foreign policy in 2011 in which the ‘Third Neighbour’ policy became a focus of attention, resulting in identifying such third neighbours who could be purposeful partners in a real sense.
Positive adjustments
Now that the third neighbours have already been identified for over a decade, Mongolian foreign policy has been witnessing positive adjustments to fit into the Indo-Pacific strategy of some of its third neighbours. And this has been done by upgrading Mongolia’s ties to the level of ‘Strategic Partnership’, especially with Japan (2011), India (2015), and the United States (2019), besides Germany (2024), which is the latest addition. All four are influential democracies with common strategic interests in the Indo-Pacific because of the region’s enormous geo-economic opportunities as well as China’s increasing politico-military assertiveness that poses formidable security challenges.
One of these third neighbours that have signed the Strategic Partnership agreement is India, known for a long time now as a ‘spiritual neighbour’ for the Mongols. As India’s own approach toward the Indo-Pacific is shaped by a new strategic and security environment coinciding with China’s rising ambitions, New Delhi has adopted an Indo-Pacific strategy for ‘a free, open, and inclusive region’. In order to manage the Chinese ambitions and secure its own strategic interests in the IndoPacific region, India needed to cultivate good relations in China’s neighbourhood, and hence willing to upgrade its ties with Mongolia which was equally interested to do so for securing itself from China threat perception.
Strategic Partnership
Since both India and Mongolia offer a newer opportunity and strategic leverage for each other in dealing with China, Prime Minister Narendra Modi’s visit to Mongolia in 2015, the first-ever such visit by an Indian Prime Minister, culminated in signing a Strategic Partnership agreement. Further, in 2019, during the then Mongolian President Khaltmaagiin Battulga’s visit to India, the Mongolian side expressed its commitment to continue to deepen and broaden its strategic partnership besides extending support to India’s ‘Indo-Pacific Vision’ by actively participating in evolving regional integration in the Indo-Pacific region.
As such Mongolia’s strategic partnership within the ‘third neighbour’ policy appears to be becoming truly effective despite growing Chinese and Russian presence, especially in the economic and trade fields. In such a scenario, the third neighbours, who are also strategic partners, are helping Mongolia diversify its strategic and economic relationships with the goal of enhancing its sovereignty. Specifically, this effort involves supporting Mongolia’s democracy; building sustainable, inclusive, private-sector-led economic growth; and strengthening political, law enforcement, and security cooperation.
India’s major support
India, on its part, has shown tremendous support to Mongolia in overcoming its hardships in strategic areas. For example, the construction of the first oil refinery in Mongolia is of great importance as India has been helping with both monetary as well as technical support. India has extended $1.236 billion for this project, which is expected to be completed by 2025.
Once the production starts, it can reduce Mongolia’s petroleum dependence on Russia by 70 per cent or so. India is also helping Mongolia establish a Cyber Security Training Centre in Ulaanbaatar, besides facilitating bilateral cooperation in the security and defence sectors, including defence diplomacy exchanges, ranging from high-level visits to military and language training of Mongolian military personnel.
No wonder then that significant progress in Mongolia’s regional outlook today owes much to strategic partnership with key third neighbours within the security framework of IndoPacific construct.