After a prolonged period of hostilities, India and China have renewed efforts to improve their bilateral relations as both countries face punitive US tariffs. To ease tensions ahead of the Shanghai Cooperation Organisation (SCO) Summit to be held in Tianjin, China, between August 31 and September 1, 2025, External Affairs Minister S. Jaishankar and Chinese Foreign Minister Wang Yi met in Delhi on Monday (18th August). In a move to repair diplomatic ties, the two leaders addressed several issues, including trade, borders, and terrorism, during their meeting.
In his opening remarks, EAM Jaishankar welcomed the two nations’ efforts to improve bilateral relations. He emphasised that differences between the two countries should not become disputes and that the relations between the two countries should be founded on mutual respect.
“Having seen a difficult period in our relationship, our two nations now seek to move ahead. This requires a candid and constructive approach from both sides. In that endeavour, we must be guided by the three mutuals – mutual respect, mutual sensitivity and mutual interest. Differences must not become disputes nor competition, conflict…” Indian Foreign Minister Jaishankar remarked during the meeting in Hyderabad House.
#WATCH | Delhi: In his meeting with Chinese Foreign Minister Wang Yi, EAM Dr S Jaishankar says, "Having seen a difficult period in our relationship, our two nations now seek to move ahead. This requires a candid and constructive approach from both sides. In that endeavour, we… pic.twitter.com/LOmJNjSrVq
— ANI (@ANI) August 18, 2025
Chinese Foreign Minister Wang Yi, in his remarks during the meeting, underscored the Chinese efforts to maintain peace between the two countries by maintaining peace at the border and opening the route for the Kailash Mansarovar yatra. “We maintained peace and tranquillity in the border areas and resumed the Indian pilgrimage to Mount Kailash and Kailash Manasarovar in the Tibet Autonomous Region,”said Yi, who arrived on a two-day visit to India at the invitation of NSA Ajit Doval.
“We shared confidence to dispel interference, expand cooperation and to further consolidate the momentum of improvement and development of China-India relations so that while pursuing our respective rejuvenation, we can contribute to each other’s success and provide the most needed certainty to Asia and the world…”, he added. Yi is set to meet PM Modi and NSA Ajit Doval on Tuesday (19th August).
#WATCH | In his meeting with EAM Dr S Jaishankar, Chinese Foreign Minister Wang Yi says, "…We maintained peace and tranquillity in the border areas and resumed the Indian pilgrimage to Mount Kailash and Kailash Manasarovar in the Tibet Autonomous Region. We shared confidence to… pic.twitter.com/rorLRCmTeD
— ANI (@ANI) August 18, 2025
China to address India’s concerns relating to rare earths, fertilisers and boring machines
As per reports, the Chinese Foreign Minister Wang Yi assured EAM Jaishankar that China is addressing India’s three main concerns relating to rare earths, fertilisers and tunnel boring machines. In April this year, China put curbs on the export of seven medium to heavy rare earth elements and several magnets by mandating exporters to obtain licenses citing national security and non-proliferation concerns. The rare earth magnets form a crucial component of electric and petrol vehicles, defence equipment, and clean energy systems.
China promises to address three key concerns of India. Foreign Minister Wang Yi assured EAM that China is addressing India’s needs of fertilisers, rare earths and tunnel boring machines: Sources https://t.co/liCzB57nz2
— ANI (@ANI) August 19, 2025
In addition to that, the delivery of three giant Tunnel Boring Machines (TBMs), needed for the construction of underground section of Mumbai-Ahmedabad high-speed bullet train corridor was halted after the Chinese authorities did not provide clearance without citing any reason. The TBMs were manufactured in Guangzhou by the German tunnelling firm Herrenknecht, two of which were to be transported to India by October 2024 and the third earlier this year. The machines are vital to excavate a 21-km-long underground part of the high-speed rail corridor, from Bandra-Kurla Complex (BKC) to Shilphata.
US-tariffs push India-China closer
During the discussion, EAM Jaishankar drew Yi’s attention to the situation at the Line of Actual Control (LAC) following the Galwan Valley standoff in April-May 2020 and called for de-escalation at the border. “The basis for any positive momentum in our ties is the ability to jointly maintain peace and tranquillity in the border areas. It is also essential that the de-escalation process move forward,” Jaishankar said.
The India-China relations took a downward turn following violent clashes, which started in April-May 2020, between the Chinese and the Indian soldiers in Eastern Ladakh’s Galwan Valley. At least 20 Indian soldiers, including the Commanding Officer, had attained martyrdom in the clashes. The Chinese casualties, as estimated by the Indian government, stood at 43-45.
However, faced with fresh geopolitical challenges posed by the Russia-Ukraine War and the US tariffs, the two countries have revived attempts to improve their bilateral ties and ensure regional stability.
