Syllabus: GS2/ International Relations
Context
- Recently India-China held the 24th round of India-China Special Representative talks.
Key Outcomes of the Dialogue
- Trade and Connectivity:
- Resumption of direct flights between India and China, facilitation of visas for tourists, businesses, media, and others.
- Re-opening of border trade through Lipulekh Pass, Shipki La Pass, and Nathu La Pass.
- Facilitation of trade and investment flows, with China addressing India’s key concerns such as fertilisers, rare earths, tunnel boring machines.
- People-to-People Engagement:
- Resumption of Kailash Mansarovar Yatra and discussion on cultural exchanges.
- Plan to hold the 3rd High-Level Mechanism on People-to-People Exchanges in India in 2026.
- Trans-Border Rivers Cooperation:
- China agreed to share hydrological data during emergency situations.
- India flagged concerns about China’s mega dam construction on the Yarlung Tsangpo (Brahmaputra).
Significance of the Visit
- The year 2025 marks the 75th anniversary of the establishment of diplomatic relations between India and China and both sides committed to commemorating this milestone with renewed cooperation.
- India–China Reset: The rapprochement comes after years of military and diplomatic freeze post-2020 clashes.
- The Kazan meeting in 2024 between PM Modi and President Xi Jinping is seen as a turning point.
- Geopolitical Backdrop: The rapprochement is significant as India faces deteriorating trade ties with the U.S., following recent tariffs imposed by the USA.
- Multipolarity Push: Both India and China emphasised the need for a multipolar world order, reflecting a shared interest in resisting unilateralism and Western dominance.
| India-China Relations – The Panchsheel Agreement, Signed in 1954, emphasized the principles of peaceful coexistence, mutual respect for sovereignty, and non-interference in each other’s internal affairs, forming the foundation of India-China diplomatic relations. – Historical Tensions: Strained since the 1962 Sino-Indian war, deepened by recent clashes and mistrust. 1. India restricted Chinese investments, banned Chinese apps (e.g., TikTok), and halted flights to China. – Trade Relations: China overtook the U.S. in 2024 as India’s largest trading partner, with over $100 billion in imports. Despite tensions, economic ties continue to grow. – Ongoing Mechanisms: Despite tensions, mechanisms like the Special Representatives (SR) and Working Mechanism for Consultation and Coordination (WMCC) have been in place to address the boundary issue. – Recent Developments: India and China announced successful disengagement in eastern Ladakh. |
Challenges Ahead
- Boundary issues: Despite mechanisms, the fundamental border dispute remains unresolved.
- Trust Deficit: Despite stabilisation, the Galwan incident and repeated border violations since 2013 (Depsang, Doklam, Pangong Tso) keep Indian policymakers wary.
- China’s Activities on Brahmaputra: India remains cautious about ecological and security impacts of mega dam projects.
- Global Alignments: India’s strategic balancing between the U.S., Russia, and China remains delicate.
- China–Pakistan Factor: India remains concerned about China’s closeness with Pakistan, especially under the China–Pakistan Economic Corridor (CPEC) framework.
Way Ahead
- Advance Border Dialogue: Prioritise early progress on boundary delimitation and phased de-escalation at the LAC to ensure lasting peace and stability.
- Balanced Economic Cooperation: Trade and investment flows should be mutually beneficial, avoiding over-dependence.
- Transparency on Rivers: Build trust through open data-sharing and cooperation on trans-boundary water projects to safeguard ecological and security interests.
- Strengthen Multilateral Cooperation: Leverage forums like SCO, BRICS, and G20 to promote multipolarity, global governance reforms, and the interests of the Global South.
Concluding remarks
- India–China relations are at a cautious but promising juncture. While structural challenges like the unresolved border persist, recent agreements mark a constructive reset.
- Guided by mutual respect and sensitivity, stable ties between the two Asian giants could contribute significantly to regional peace, economic revitalisation, and the shaping of a multipolar world order.
Source: TH
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