As the BRICS summit begins in India, the anticipated meeting between Xi Jinping and Narendra Modi is drawing considerable attention due to its implications for Sino-Indian relations. This will be Xi's first visit to India since 2019, following a period of heightened tensions after border clashes in 2020.
Analysts, including Vrinda Sahai from Carnegie India, emphasize the importance of this meeting as an opportunity to advance bilateral discussions.
Recent improvements in relations, highlighted by Modi's prior visit to China and a meeting between the Chinese foreign minister and India's national security advisor, suggest a thawing of ties, although significant issues remain, such as border disputes and trade imbalances.
The trade deficit, which has reached a record $112.16 billion, is a critical concern for India, as it relies heavily on Chinese imports, particularly in sectors like green energy. Despite the positive signals, there are underlying tensions, including China's reported encroachments in Arunachal Pradesh and its cautious stance on technology transfers to India.
The meeting's outcomes could influence future investment ties and trade policies, with experts like Radhika Rao from DBS Bank noting that any liberalization will be closely linked to geopolitical developments. Overall, the summit presents a crucial moment for both nations to address longstanding issues while navigating their complex relationship