1 Why Did Alternative Centres of Power Emerge?
After the end of the bipolar world, the question arose: what could be an alternative to American dominance? One answer was regional organisations. In Europe the European Union and in Asia ASEAN emerged as such alternatives, while China carved out this position through the strength of its economy.
2 The European Union
Europe lay devastated after the Second World War. The US gave assistance under the Marshall Plan, and the Council of Europe was set up in 1949. Economic cooperation grew gradually, and this process sped up after the collapse of the Soviet bloc.
The European Union was established by the Maastricht Treaty of 7 February 1992. It extended economic cooperation to a common foreign and security policy and common citizenship.
The Union has its own flag, anthem, founding day, and a common currency: the euro. In this sense it is not merely an economic organisation but has come to resemble a nation-state.
| Area of Influence | Strength of the European Union |
|---|---|
| Economic | Among the largest economies in the world; its currency, the euro, challenges the dollar; a large share of world trade |
| Political–diplomatic | France is a permanent member of the Security Council; several members are non-permanent members, giving it capacity to shape American policies |
| Military | Combined armed forces the second largest in the world; total defence spending second after the US; one EU member state, France, has nuclear arsenals of approximately 335 nuclear warheads; the world’s second most important source of space and communications technology |
The European Union has its own weaknesses. Member states are not willing to give up their sovereignty; some have not adopted the euro; and the attempt in 2003 to create a common constitution failed. So members often take different positions on foreign and defence policy.
Member states also have their own foreign relations and defence policies that are often at odds with each other: Britain’s Prime Minister Tony Blair was America’s partner in the Iraq invasion, while Germany and France opposed American policy. There is a deep-seated ‘Euroskepticism’ in some parts of Europe about the EU’s integrationist agenda: Britain’s former prime minister Margaret Thatcher kept the UK out of the European Market, and Denmark and Sweden resisted the Maastricht Treaty and the adoption of the euro. In a 2016 referendum, 51.9 per cent of voters in Britain decided that Britain should exit the EU (Brexit).
3 ASEAN
ASEAN was established in 1967 by the Bangkok Declaration, by five countries: Indonesia, Malaysia, the Philippines, Singapore and Thailand. Its aims were economic growth, social progress, cultural development, and peace in the region.
ASEAN’s way of working is called the “ASEAN Way”: informal, non-confrontational, and based on cooperative dialogue.
ASEAN Security Community
Ensures regional disputes do not escalate to armed conflict: emphasis on peaceful resolution.
ASEAN Economic Community
A common market and production base; easier movement of investment, labour and capital.
ASEAN Socio-Cultural Community
Building cooperation and a shared identity among the region’s people.
The ASEAN Regional Forum (ARF) was set up in 1994 as a platform for dialogue on security and foreign-policy issues. ASEAN’s real strength lies in dialogue and cooperation, not military power. ASEAN’s Vision 2020 defined an outward-looking role for ASEAN in the international community; ASEAN has mediated the end of the Cambodian conflict and the East Timor crisis.
During the Cold War, Indian foreign policy did not pay adequate attention to ASEAN. India later signed trade agreements with three ASEAN members, Malaysia, Singapore and Thailand, and the ASEAN–India FTA came into effect in 2010. India’s ‘Look East’ Policy (since the early 1990s) and ‘Act East’ Policy (since 2014) have led to greater economic interaction with the East Asian nations (ASEAN, China, Japan and South Korea).
4 China’s Economic Rise
China opened up its economy gradually and deliberately, not in one sudden move, unlike what Russia did after the Soviet collapse.
Special Economic Zones (SEZs) were created to bring in foreign capital and technology, offering special concessions to foreign investors. This is why China became the fastest-growing economy in the world.
Do not write that China adopted “shock therapy”. China opened its markets in a gradual and controlled manner and kept political control firmly with the Communist Party: the exact opposite of Russia’s sudden leap.
But this rise has also come at a cost: unemployment, growing inequality between rural–urban and coastal–inland regions, environmental damage, and corruption.
5 India–China Relations
| Period | What Happened |
|---|---|
| 1962 | War over the border dispute: created lasting distrust in relations |
| After 1976 | Diplomatic relations restored; dialogue begins |
| Since 1988 | High-level visits improve relations; the border dispute is set aside to allow cooperation in other areas |
| Today | Trade has grown rapidly; but the border dispute and trade imbalance remain major challenges |
6 Japan and South Korea as Emerging Powers
| Point | Japan | South Korea |
|---|---|---|
| Rise | Very few natural resources and imports most raw materials, yet progressed rapidly after the Second World War; famous brands such as Sony, Panasonic, Canon, Suzuki, Honda, Toyota and Mazda | Korea was divided along the 38th Parallel at the end of the Second World War; Korean War 1950-53; both Koreas became UN members on 17 September 1991. Rapid growth between the 1960s and 1980s, called the “Miracle on the Han River”; brands such as Samsung, LG and Hyundai |
| OECD | Member since 1964 | Member since 1996 |
| Economy (2017) | Third largest in the world; the only Asian member of the G-7 | Eleventh largest in the world |
| Military | Article 9 of its Constitution renounces war; military expenditure only 1 per cent of GDP, yet the seventh largest in the world; security alliance with the US since 1951 | Military expenditure the tenth largest in the world |
| Other facts | The only nation to suffer the destruction caused by nuclear bombs; second largest contributor to the UN regular budget (almost 10 per cent); eleventh most populous nation | HDI rank 18 (Human Development Report 2016), due to successful land reforms, rural development, extensive human resources development and rapid equitable economic growth, plus export orientation, strong redistribution policies, public infrastructure, effective institutions and governance |
7 CBSE Supplementary Topics: BRICS, Russia, India
These sub-topics are not in the NCERT book. The official CBSE 2026-27 Political Science curriculum adds them as “Additional Reference Material” for this chapter and says: “The additional reference material is for classroom transaction and will not be assessed in the Board examination.” Read them for understanding and current awareness.
BRICS
Brazil, Russia, India, China and South Africa. BRIC began in 2006 and held its first summit in Russia in 2009; it became BRICS when South Africa joined (2010). Aims: mutual economic cooperation and benefit, non-interference in each other’s internal policies, and equality. The 11th summit was held in Brazil in 2019. BRICS+: Egypt, Ethiopia, Iran and the UAE became full members in 2024 and Indonesia in early 2025. India holds the BRICS chair and hosts the 18th summit in 2026.
Russia
The largest part of the former Soviet Union and its successor state. Large reserves of minerals, natural resources and gas; a nuclear state with a huge stock of sophisticated weapons; a permanent member (P-5) of the UN Security Council.
India
Seen as an important emerging power of the 21st century: a large and competitive market, the goal of a $5 trillion economy, a large Indian diaspora across the world, self-reliant military strength and indigenous nuclear technology, and the ‘Make in India’ programme.
The NCERT book says the European Union was established in 1992: the Maastricht Treaty was signed on 7 February 1992. The treaty came into force on 1 November 1993, which is why the CBSE reference note says the EU was “founded in 1993”. After Britain left (Brexit), the EU has 27 members. In an NCERT-based question, write 1992 (Treaty of Maastricht).
- The European Union was established by the Maastricht Treaty of 7 February 1992; common currency is the euro
- The EU’s influence is threefold: economic, political–diplomatic and military
- Its limits: member states are unwilling to give up sovereignty; the 2003 common constitution failed
- ASEAN was formed in 1967 by the Bangkok Declaration; five founding countries
- The three pillars of the ASEAN Community: security, economic and socio-cultural
- The ARF was set up in 1994; ASEAN’s strength is dialogue, not military power
- China: 1978 Open Door Policy, gradual privatisation, SEZs, WTO in 2001
- China’s path was gradual, not a sudden leap like Russia’s shock therapy
- 1 MarkWhen was the Maastricht Treaty signed?
- 1 MarkWhat is the European Union’s common currency?
- 1 MarkWhen was ASEAN established, and by which declaration?
- 1 MarkWho were the five founding members of ASEAN?
- 1 MarkIn which year was the ARF established?
- 1 MarkWho announced the “Open Door” policy, and when?
- 1 MarkWhen did China become a member of the WTO?
- 1 MarkWhat are Special Economic Zones (SEZs)?
- 2 MarksWhat is meant by the “ASEAN Way”?
- 2 MarksWhat were the Four Modernisations?
- 2 MarksWhy is the European Union described as resembling a “nation-state”?
- 4 MarksDescribe the economic, political and military influence of the European Union.
- 4 MarksExplain the three pillars of the ASEAN Community.
- 4 MarksGive reasons for China’s economic success.
- 4 MarksWrite four problems arising from China’s economic rise.
- 6 MarksHow did the European Union become an influential regional organisation? Also mention its limitations.
- 6 MarksIn what sequence did China open up its economy? Compare it with Russia’s shock therapy.
- 6 MarksDescribe the development of India–China relations.
- 1 MarkWhich treaty established the European Union?
(a) Treaty of Rome(b) Maastricht Treaty(c) Warsaw Pact(d) Treaty of Paris - 1 MarkIn which year was ASEAN established?
(a) 1957(b) 1967(c) 1978(d) 1992 - 1 MarkThe “Open Door” policy is associated with:
(a) Zhou Enlai(b) Mao(c) Deng Xiaoping(d) Gorbachev - 1 MarkThe ARF is associated with:
(a) European Union(b) ASEAN(c) SAARC(d) NATO - 1 MarkChina joined the WTO in:
(a) 1991(b) 1995(c) 2001(d) 2005
Options: (a) Both true, R correctly explains A · (b) Both true, R does not explain A · (c) A true, R false · (d) A false, R true.
- 1 Mark
Assertion (A): ASEAN’s strength lies in its military power.
Reason (R): ASEAN functions on the “ASEAN Way” of dialogue and cooperation. - 1 Mark
Assertion (A): The European Union’s foreign policy is not always unanimous.
Reason (R): Member states are unwilling to give up their sovereignty.