TLDR;
India and China, after years of strained relations, are showing signs of a potential reset. Key developments include the possible resumption of direct passenger flights, economic signals like Indian diesel being sent to China, and the resumption of tourist visas and pilgrimages. These steps follow troop pullbacks from flash points. However, sticking points like the unsettled boundary and China's relationship with Pakistan remain.
- Resumption of direct passenger flights after pandemic-related suspension.
- Economic exchanges restarting with diesel consignment and fertilizer imports.
- Tourist visas and religious pilgrimages are being reinstated.
- Troop pullback from flash points along the Line of Actual Control (LAC).
- Unresolved boundary issues and China-Pakistan relations remain as challenges.
Restarting of Passenger Flights [0:03]
India and China are looking at restarting direct passenger flights, possibly by September. This would be the first time since the pandemic caused services to shut down. The announcement could happen when Prime Minister Modi goes to Thailand for the SEO summit. This trip would also be his first to China in seven years, and he might talk with President Xi Jinping there.
Economic Signals [0:36]
Economic ties between India and China are also showing positive signs. An Indian diesel shipment is headed to a Chinese port, which is the first in over three years. Beijing has also removed restrictions on urea sales to India, which could lead to India importing up to 300,000 tons of urea.
People-to-People Connections [0:53]
India is starting to give tourist visas to Chinese citizens again, and the Kailash Mansarovar pilgrimage has been restarted. These actions come after an agreement last year to pull back troops from certain tense areas along the Line of Actual Control (LAC).
Geopolitical Context [1:12]
This warming relationship is happening as global alignments are changing. Washington's tariff pressure on New Delhi and its outreach to Islamabad are adding complexity to the geopolitical situation.
Remaining Challenges [1:26]
Despite these positive steps, some issues remain. The border is still not settled, and China's defense partnership with Pakistan continues. Also, new infrastructure projects in contested areas are a concern. While flights, fuel, and fertilizer might be back on the table, whether trust can be rebuilt is something that only time will tell.