India-China Partnership Strengthens Amid Global Trade Tensions

TIANJIN: During a bilateral meeting at the Shanghai Cooperation Organisation (SCO) Summit in Tianjin, Prime Minister Narendra Modi and Chinese President Xi Jinping reaffirmed that India and China are cooperative partners, not competitors, emphasizing their shared role in stabilizing global trade. The discussions, held on August 31, 2025, highlighted the importance of preventing differences from escalating into disputes, particularly in light of global economic challenges driven by U.S. tariffs.

The Indian Ministry of External Affairs (MEA) reported that Modi stressed the significance of maintaining peace along the border to foster stronger bilateral ties. Both leaders expressed satisfaction with last year’s successful border disengagement and the sustained tranquility since then. They committed to pursuing a fair and mutually acceptable resolution to the boundary issue, guided by the broader context of their relationship and the long-term interests of their peoples. The leaders also endorsed the ongoing efforts of their Special Representatives to resolve border disputes.

Modi and Xi acknowledged the critical role of their economies in countering global trade disruptions, particularly amid U.S. President Donald Trump’s tariff policies. They discussed expanding bilateral trade, increasing investments, and addressing India’s trade deficit with China. The leaders emphasized strengthening people-to-people connections, noting the resumption of the Kailash Mansarovar Yatra and the restoration of direct flights and tourist visas.

Modi extended an invitation to Xi for the 2026 BRICS Summit in India, signaling a commitment to deepening ties. The MEA noted that both leaders recognized the need to collaborate on regional and global issues, including terrorism and fair trade, through multilateral platforms. Modi also met with Cai Qi, a senior member of the Chinese Communist Party’s Politburo, to discuss advancing bilateral cooperation.

The talks underscored the strategic autonomy of both nations, with Modi asserting that India-China relations should remain independent of third-country influences. This meeting, Modi’s first in China in seven years, reflects a cautious but steady improvement in ties since their last encounter in Kazan in October 2024.

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