In brief
Prime Minister Narendra Modi's recent visit to China comes in the wake of the US imposing steep tariffs on Indian exports, prompting India and China to seek a business reboot to counteract external pressures. The visit aims to foster cooperation between the world's largest emerging economies against the backdrop of lingering territorial disputes and a shared need to enhance economic collaboration in manufacturing and trade.
India's Prime Minister Narendra Modi landed in China on Sunday with the sting of Donald Trump's US tariffs still top of mind.
Since Wednesday, tariffs on Indian goods bound for the US, like diamonds and prawns, now stand at 50% – which the US president claims is punishment for Delhi's continued purchase of Russian oil.
Experts say the levies threaten to leave lasting bruises on India's vibrant export sector and its ambitious growth targets.
China's Xi Jinping, too, is trying to revive a sluggish Chinese economy at a time when sky-high US tariffs threaten to derail his plans.
Against this backdrop, the leaders of the world's two most populous countries may both be looking for a reset in their relationship, which has previously been marked by mistrust, largely driven by border disputes.
Both nations are economic powerhouses – India and China are respectively the world's fifth and second largest economies.
Modi's visit may mark a potential turning point, as India is expected to work closely with China to enhance trade and manage expectations regarding their complex relationship.
Experts believe this engagement could help in reducing dependence on the US while expanding their markets, as India seeks lower import duties on goods from China, and China looks for increased access to the Indian market.
While the geopolitical landscape remains intricate, as both countries navigate past hostilities and current disputes, Modi's trip could signal a new chapter in China-India relations, aimed at mutual economic benefit.
