China’s aggressive rise and strained relations with its Asia-Pacific neighbours—a region with immense economic and strategic potential—have forced the US to forge a strategy of Asian rebalance. Besides making China suspicious, this strategy has aroused the possibility of a new cold war. In contrast, though India’s relations with China have improved considerably since the 1962 War, the unresolved border issue and the threatening Chinese attitude do not allow India to trust China. To deal with the Chinese threat, India has devised a Look East, Act East engagement policy as well as developed close economic and strategic relations with the US and its Asia-Pacific allies. Although the concern of strategic autonomy deters India from being an active partner of US strategy, China’s all-weather friendship with Pakistan and encirclement through infrastructure in its neighbourhood as well as Xi Jinping’s Chinese dream have left limited options for India. Therefore, this article aims to analyse the implications of US re-involvement in the Asia-Pacific and India’s role therein—particularly its concerns regarding this strategy.