Chinese, Russian Presidents Outline Vision for New Global Order at SCO Summit

Reuters

Chinese President Xi Jinping and Russian President Vladimir Putin.

Chinese President Xi Jinping and Russian President Vladimir Putin outlined their vision for a new global security and economic order at the Shanghai Cooperation Organisation (SCO) summit in Tianjin on Monday, 1 September 2025, emphasising the central role of the “Global South”.

President  Xi hosted over 20 leaders from non-Western countries at the two-day summit, calling for the SCO to “promote the democratisation of international relations and enhance representation of developing countries”. He warned that, amid current global turbulence, “global governance has reached a new crossroads”.

“We must continue to take a clear stand against hegemonism and power politics, and practise genuine multilateralism,” President Xi said, in a veiled critique of the prevailing U.S.-dominated world order.

The Chinese leader also advocated for a more inclusive model of economic globalisation, highlighting the SCO’s “mega-scale market” and opportunities across energy, science, and other sectors, particularly in the context of the disruption caused by U.S. tariff policies. These tariffs have disproportionately impacted developing economies such as India, whose exports faced a 50% levy last week.

President Putin stressed that the SCO has revitalised “genuine multilateralism”, with national currencies increasingly used for mutual settlements. 

“This, in turn, lays the political and socio-economic groundwork for the formation of a new system of stability and security in Eurasia,” he said. “Unlike Euro-centric or Euro-Atlantic models, this security framework would consider the interests of a broad range of countries, be genuinely balanced, and would not allow one nation to secure its own safety at the expense of others.”

President Xi proposed the establishment of a new SCO development bank, signalling a major step towards the organisation’s long-term aspiration of an alternative payment system or common currency, reducing dependence on the U.S. dollar. 

He also announced that Beijing will provide 2 billion yuan ($280 million) in aid to member states this year, alongside 10 billion yuan in loans to an SCO banking consortium. Furthermore, China plans to build an artificial intelligence cooperation centre for SCO nations and extend invitations to participate in its lunar research station.

On the sidelines of the summit, United Nations Secretary-General António Guterres highlighted China’s “fundamental” role in upholding global multilateralism.

Other attendees included Indian Prime Minister Narendra Modi and leaders from Central Asia, the Middle East, South Asia, and Southeast Asia. The SCO, initially composed of six Eurasian nations, has grown to ten permanent members with sixteen dialogue and observer countries.

The summit also served as an opportunity to strengthen Sino-Indian ties. PM Modi, visiting China for the first time in seven years, and President Xi agreed that their countries are development partners rather than rivals and discussed measures to enhance trade relations.

Sources: Reuters



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