India is contemplating a “graded” improvement of trade ties with China — with plans for reopening the economy under consideration at the highest level of government. The discussions come amid a rapidly evolving global trade landscape and the continued threat posed by US tariffs. Both two countries have signalled a thaw in recent months and recently resumed easier visa processes after a gap of five years.
According to an Indian Express report, officials are discussing an ‘incremental’ approach for opening up the Indian economy to China. Any easing is reportedly contingent on a calibrated give-and-take approach from Beijing.
“It (easing of norms for China) is being worked upon. It will take time though. There has to be reciprocity. Earlier, flights were restored, visas were given, entry norms were eased as we had to allow technicians for stalled projects etc. So it will happen gradually,” said an official told the publication.
What has changed so far?
The two countries have made extensive efforts to improve ties last year — agreeing to resume the Kailash Mansarovar Yatra, restore direct flights, issue visas for journalists and think tank researchers and begin sharing trans-border river data.
China emerges as major export destination for India
Data from the Commerce Ministry indicates that China is gradually emerging as a major export destination for India — with shipments rising 33% to $12.22 billion during April-November of the current fiscal.The export increase was driven by products such as oil meals, marine products, telecom instruments and spices. The sharp jump marks the highest level in the past four years and signals a structural shift in the bilateral trade relationship.
“This spread across electronic goods, agriculture and base metals, indicates that the export surge is not narrowly concentrated but reflects a broader structural expansion of India’s exports to China,” an official told PTI.