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Shanghai Cooperation Organisation — Basic Structure

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Version 1Updated 5 Mar 2026

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Basic Structure

The Shanghai Cooperation Organisation (SCO) is a major Eurasian regional organisation established in 2001, evolving from the Shanghai Five border demarcation mechanism of 1996. With eight full members including India (joined 2017), four observers, and multiple dialogue partners, the SCO covers 60% of Eurasia and represents nearly half the global population.

Headquartered in Beijing with its anti-terrorism structure (RATS) in Tashkent, the organisation operates on 'Shanghai Spirit' principles emphasising mutual trust, equality, and non-interference. The SCO focuses on three main areas: security cooperation against terrorism, separatism, and extremism; economic cooperation including energy partnerships and connectivity projects; and cultural exchanges promoting regional understanding.

For India, SCO membership provides Central Asian access, counter-terrorism cooperation, multilateral engagement with China and Pakistan, and demonstrates multi-alignment foreign policy. Key challenges include China-Russia dominance, India-Pakistan tensions, limited economic integration, and consensus-based decision-making constraints.

Recent developments include India's 2023 presidency, Iran's membership process, and enhanced focus on Afghanistan situation. The organisation represents an alternative model of multilateral cooperation based on sovereignty and practical cooperation rather than ideological conformity, making it increasingly relevant in the multipolar world order.

Important Differences

vs Association of Southeast Asian Nations (ASEAN)

Aspect	This Topic	Association of Southeast Asian Nations (ASEAN)
Geographic Focus	Eurasian landmass, Central Asia emphasis	Southeast Asian maritime and mainland regions
Primary Objectives	Security cooperation, counter-terrorism, energy partnerships	Economic integration, trade liberalisation, regional stability
Decision-Making	Formal consensus through structured councils	Informal consultation through 'ASEAN Way'
Security Architecture	Regional Anti-Terrorist Structure (RATS), joint military exercises	ASEAN Regional Forum (ARF), preventive diplomacy
Economic Integration	Limited trade integration, focus on connectivity projects	ASEAN Free Trade Area, comprehensive economic integration
Membership Criteria	Geographic proximity, consensus approval, no ideological conditions	Southeast Asian location, democratic governance preferences
External Relations	Alternative to Western-led institutions, China-Russia leadership	Engagement with major powers, US alliance partnerships

The SCO and ASEAN represent different models of regional cooperation reflecting their distinct geographic, historical, and strategic contexts. While ASEAN emphasises economic integration and informal consultation in Southeast Asia, the SCO prioritises security cooperation and formal institutional mechanisms in Eurasia. The SCO's focus on counter-terrorism and energy cooperation contrasts with ASEAN's trade liberalisation and economic integration agenda. Both organisations practice non-interference principles but apply them differently - ASEAN through informal diplomacy and the SCO through structured consensus-building. For India, these differences mean that SCO membership complements rather than competes with its ASEAN partnerships, providing access to different regional networks and cooperation mechanisms.

vs BRICS

Aspect	This Topic	BRICS
Membership Basis	Geographic proximity in Eurasia, regional cooperation focus	Emerging economy status, global governance reform agenda
Primary Focus	Regional security, counter-terrorism, energy cooperation	Global economic governance, financial architecture reform
Institutional Structure	Permanent secretariat, specialised agencies (RATS), regular summits	Rotating presidency, New Development Bank, sectoral cooperation
Security Dimension	Formal counter-terrorism cooperation, joint military exercises	Limited security cooperation, focus on economic security
Economic Cooperation	Regional connectivity, energy partnerships, limited trade integration	Alternative financial institutions, trade in local currencies, investment cooperation
Global Positioning	Regional alternative to Western institutions, Eurasian focus	Global South leadership, reform of existing international system
Operational Scope	Regional issues, border management, terrorism, energy security	Global issues, climate change, sustainable development, trade

The SCO and BRICS serve complementary but distinct roles in India's multilateral engagement strategy. While BRICS focuses on reforming global economic governance and representing emerging economies' interests worldwide, the SCO addresses regional security and cooperation challenges in Eurasia. The SCO's emphasis on counter-terrorism and regional stability contrasts with BRICS' focus on alternative financial institutions and global governance reform. Both organisations challenge Western-dominated international systems but operate at different scales - regional versus global. For India, SCO membership provides regional security cooperation and Central Asian access, while BRICS offers global economic partnership and South-South cooperation platforms.