A Historic Diplomatic Momentum in New Delhi

In a major diplomatic development highlighting international importance and regional partnership, Chinese President Xi Jinping is scheduled to visit India for the BRICS Summit, taking place from September 12 to 13 in New Delhi. Marking President Xi’s first visit to India in seven years, the summit represents a significant step forward in restoring steady diplomatic engagement and trade relations between the two Asian leaders following the 2020 military standoff in the Galwan Valley.

During the summit, President Xi is expected to hold key bilateral talks with Prime Minister Narendra Modi on the sidelines. The upcoming interaction builds upon the constructive trajectory established during PM Modi’s visit to China last year, as well as a brief meeting between the two leaders at a regional forum in Kyrgyzstan earlier this month. China’s Foreign Ministry communicated to Reuters that both leaders view their respective nations as partners rather than competitors, representing development opportunities rather than threats.

Strategic Alignment and Border Peace

The diplomatic thaw has been carefully cultivated through sustained high-level engagements over recent months. Last month in Beijing, National Security Adviser Ajit Doval met with Chinese Foreign Minister Wang Yi, with both officials emphasizing the vital role of leadership-level dialogue in shaping bilateral ties. Furthermore, following earlier disengagement agreements reached in Kazan regarding the eastern Ladakh military standoff, both countries tasked their Special Representatives on the boundary question to oversee border management and pursue a fair, reasonable, and mutually acceptable resolution.

During the scheduled bilateral discussions, Prime Minister Modi is set to reiterate New Delhi’s steadfast position that maintaining peace and tranquillity along the border remains essential to the overarching development of India-China relations.

"As two of the world’s most populous emerging economies, a stable, predictable and amicable relationship between India and China is not only in the interest of our 2.8 billion people, but is also a significant factor for peace, stability and prosperity in Asia and the wider world," Indian Ambassador to China Vikram Doraiswami wrote in an article published in the state-run Global Times.

Addressing Economic Imbalances and Bilateral Trade

Economic cooperation and trade normalization stand at the forefront of the summit agenda. China remains India’s largest trading partner, with bilateral trade touching a record figure of $151.1 billion in the fiscal year ending March 2026. However, New Delhi’s trade deficit with Beijing expanded to a record $112.16 billion, up from $99.21 billion in the previous period. Consequently, Indian delegates aim to prioritize discussions around fair market access, supply-chain reliability, and correcting this widening trade imbalance.

In pursuit of commercial collaboration, a prominent Chinese business delegation is accompanying President Xi to New Delhi. CGTN journalist Huang Yue highlighted that Chinese firms are eager to explore operational opportunities within BRICS partner nations. This visit follows previous measures to ease bilateral movement, including the resumption of direct flights and simplified visa procedures for Chinese business professionals instituted by New Delhi.

Reopening Historic Border Trade Corridors

Reflecting tangible progress on the ground, border trade between India and China has officially resumed following a six-year hiatus caused by the Covid-19 pandemic and diplomatic tensions. Operational trade through the Lipulekh Pass, which originally commenced in 1992, saw Chinese officials permit 16 traders and four support staff to enter Tibet on August 1 to restart trade operations.

Simultaneously, cross-border commerce through the strategically vital Nathula Pass in Sikkim has reopened, restoring one of the most prominent historical Silk Road trading corridors. While officials maintain a cautious approach, these synchronized steps in economic and diplomatic domains signal a shared commitment to building durable normalisation across Asia.