logo
Avoiding trade curbs vital for normalisation of ties, India tells China

Avoiding trade curbs vital for normalisation of ties, India tells China

Yahoo5 hours ago
BEIJING/NEW DELHI (Reuters) -India and China must resolve friction along their border, pull back troops and avoid "restrictive trade measures" to normalise their relationship, India's foreign minister told his Chinese counterpart in Beijing on Monday.
India's Subrahmanyam Jaishankar met Wang Yi in Beijing during his first trip to the country since 2020, when a deadly border clash between their troops led to a four-year military standoff and damaged ties until a thaw began in October, when they agreed to step back.
"Good progress" made by the countries in the past nine months for normalisation of relations is a result of the resolution of friction along their border, Jaishankar told Wang.
India and China share a 3,800 km (2,400 miles) border that is poorly demarcated and has been disputed since the 1950s. They fought a brief but brutal border war in 1962 and talks over the decades to settle the border dispute have made slow progress.
Last month, Indian Defence Minister Rajnath Singh told his Chinese counterpart that the two countries should seek a "permanent solution" to the border dispute, seen as a new push by New Delhi for a conclusive outcome.
"It is now incumbent on us to address other aspects related to the border, including de-escalation," Jaishankar said, adding that it was also critical that restrictive trade measures and roadblocks be avoided to foster mutually beneficial cooperation.
The minister was speaking in the backdrop of Beijing's restrictions in recent months on supplies of critical minerals such as rare earth magnets and machinery for manufacturing of high-tech goods.
India holds the world's fifth-largest rare earth reserves but its domestic output remains underdeveloped.
There was no immediate Chinese readout of the talks between Jaishankar and Wang.
Jaishankar, who is in China to attend the meeting of foreign ministers of the Shanghai Cooperation Organisation, met Chinese Vice President Han Zheng earlier in the day, the official Chinese news agency Xinhua reported.
India and China should steadily advance practical cooperation and respect each other's concerns, Han told Jaishankar, Xinhua said.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

China's 4.2 Trillion Yuan Lending Spike: Stimulus Firepower or Economic Red Flag?
China's 4.2 Trillion Yuan Lending Spike: Stimulus Firepower or Economic Red Flag?

Yahoo

time19 minutes ago

  • Yahoo

China's 4.2 Trillion Yuan Lending Spike: Stimulus Firepower or Economic Red Flag?

China's credit engine just kicked into high gearbut it's not the full story. Total social financing hit 4.2 trillion yuan ($585.7 billion) in June, coming in well above economists' expectations. Banks extended 2.2 trillion yuan in new loans, thanks to a seasonal lending push and a wave of government bond issuance. The People's Bank of China doubled down on its moderately loose stance, signaling it will maintain ample liquidity while monitoring the impact of existing measures. Officials say the goal is to stimulate demand and stabilize investor sentimentbut so far, private sector appetite still looks soft. Warning! GuruFocus has detected 3 Warning Sign with MRK. Take a closer look and cracks start to show. ING's Lynn Song noted that the credit bump was heavily propped up by government bond sales, not organic business borrowing. Property remains a key drag: new-home sales from China's top 100 developers dropped 23% in June year-over-year, steeper than May's 8.6% decline. While interbank borrowing costs have eased, and liquidity is flowing, the real economy hasn't caught uplending growth in the first half of 2025 still paints a picture of weak confidence and subdued risk-taking. So what does it mean for global investors? For companies tethered to Chinese demandlike Tesla (NASDAQ:TSLA)this rebound in headline credit may look promising, but the story underneath remains complex. Unless wage growth stabilizes and consumer confidence picks up, the credit tap alone may not be enough to drive a lasting recovery. Eyes now turn to whether China's next round of stimulus can translate into real-world spendingand whether the private sector is ready to step off the sidelines. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store