By Shannon Tiezzi
Despite voiced commitments to closer ties, the border issue continues to overshadow China-India relations.
Xi Jinping’s long awaited trip to India continues today, with Xi and Modi moving their meetings from the state of Gujarat to India’s capital. However, as The Diplomat has noted, Xi’s visit was partially marred by a stand-off between Chinese and Indian troops along their disputed border. The incident raised new questions of how far India-China cooperation can go without a resolution to the border disputes.
By design, Xi’s major point of emphasis was on trade, not security issues. His op-ed for The Hindu highlighted areas of compatibility between the Indian and Chinese economies, summed up in his description of China as the “world’s factory” and India as the “world’s back office.” The op-ed painted a picture of two great nations on the verge of a break-through in their relationship. “China-India relations have become one of the most dynamic and promising bilateral relations in the 21st century,” Xi wrote.
To back up his words, Xi pledged $20 billion of Chinese investment in India over the next five years, with much of the investment centered on upgrading India railways system. The two countries are also beginning to discuss cooperating on India’s nuclear power. China also plans to establish two new industrial parks in India, one in Gujarat and the other in the state of Maharashtra. Still, Indian media outlets, like The Times of India, were quick to point out that China’s promised investment was significantly less than the $37 billion over five years offered by Japanese Prime Minister Shinzo Abe.
Read the full story at The Diplomat