NEW DELHI, Sept 13: India and China have signalled a renewed push to strengthen economic and business ties, with Prime Minister Narendra Modi and Chinese President Xi Jinping discussing trade, market access and supply-chain issues on the sidelines of the BRICS Summit in New Delhi.
The meeting marked Xi’s first visit to India in seven years and came amid efforts by both countries to stabilise relations following years of tensions along their disputed Himalayan border.
Economic cooperation featured prominently in the discussions, with both sides emphasising the importance of expanding business and transport links while addressing structural imbalances in bilateral trade.
India’s trade with China reached a record $155.6 billion in 2025, although the relationship remains heavily tilted in Beijing’s favour. Indian imports from China were around $132 billion, leaving a substantial trade deficit.
New Delhi has repeatedly sought greater access for Indian products in the Chinese market while also working to reduce vulnerabilities caused by dependence on Chinese supplies in strategically important sectors.
The discussions also highlighted the need to strengthen supply chains and facilitate business exchanges. Regulatory barriers, visa restrictions and difficulties faced by companies operating across the two markets have remained obstacles to deeper commercial engagement.
The improvement in diplomatic engagement could provide opportunities for businesses in areas including electronics, pharmaceuticals, automobile components and critical minerals. At the same time, India is expected to remain cautious about excessive dependence on imports from China.
The two leaders stressed that continued peace and stability along the border would be essential for creating an environment conducive to stronger economic relations.
The BRICS summit has also placed greater emphasis on trade settlements, financial cooperation and reducing barriers to cross-border business. The bloc’s discussions include efforts to improve payment mechanisms and encourage greater use of local currencies in international transactions.
For Indian businesses, improved bilateral engagement could eventually translate into better market access and more predictable supply chains. However, significant challenges remain, particularly India’s persistent trade deficit and concerns over access to the Chinese market.