Relevance : GS 2(International Relations -Bilateral relations with China)
Context
- Event: PM Narendra Modi and Chinese President Xi Jinping met on the sidelines of the Shanghai Cooperation Organisation (SCO) Summit in Tianjin, China (August 31).
- Key Message: Both sides agreed to be “partners, not rivals”, emphasizing mutual trust and respect.
- Context: Meeting came after a five-year military standoff along the Line of Actual Control (LAC) in Eastern Ladakh.
- Objective: To gradually normalize bilateral ties strained by the border conflict.
- Readouts:
- India’s stance: Strategic autonomy, fair trade, repairing ties.
- China’s stance: Don’t let border issues define overall relations.
- Modi’s Visit: First trip to China in five years; also aimed at balancing global power shifts after turbulence in India–US ties (under Trump).
- Border Milestones:
- Oct 2024: Border patrol leaders met, discussed sensitive points.
- Aug 2025: 24th round of border talks held, easing tensions.
- Modi–Putin Meet: Same day, focus on tariffs after US levied 50% duty on Indian goods.
Strategic Context
- India–China ties oscillate between cooperation and competition.
- SCO platform used by India to engage without appearing weak, while balancing against US/Japan strategic pressures.
- Post-2020 Galwan clash, this marks India’s calibrated re-engagement.
Border Issue Management
- Border is core irritant; India insists peace at LAC is prerequisite for broader cooperation.
- China emphasizes compartmentalization – don’t let border disputes spill into trade/investment.
- Recent patrol-level and ministerial talks show slow but steady de-escalation.
Economic & Trade Angle
- China remains India’s largest trading partner despite tensions (>$135 bn trade, 2024).
- India seeks fair trade, reduced deficit, and technology access.
- China wants continued export market in India amid Western decoupling.
Diplomatic Rebalancing
- India leveraging ties with US, Japan, and Russia to avoid overdependence on China.
- Engagement with Xi signals India’s multi-alignment policy – strategic autonomy at core.
- “Partners, not rivals” line meant more for optics to stabilize ties ahead of SCO/BRICS agendas.
Security & Geopolitical Dimensions
- Both nations are nuclear powers and neighbors, yet security dilemma persists.
- India wary of China–Pakistan axis and China’s influence in Indian Ocean (String of Pearls).
- Dialogue reduces immediate risk of escalation, but trust deficit remains.
