【By Observer News, Wang Kaiwen】According to China Central Television, India has resumed issuing tourist visas to Chinese citizens since July 24, marking the first time in five years that India has resumed issuing tourist visas to Chinese citizens.

Several Indian media outlets have noted that although there are still some conflicts and disputes between India and China, in recent times, bilateral relations have shown more signs of thawing and warming, and the resumption of tourist visas is just one of these signals.

On the other hand, since Trump's return to power, the United States has become increasingly aggressive toward India. Trump has confirmed that he will impose a 25% tariff on Indian products and has claimed that he will "punish" India for its relationship with Russia.

In recent times, official interactions between China and India in fields such as defense and foreign affairs have been frequent. In mid-July, Indian Foreign Minister S Jaishankar visited China and attended the meeting of foreign ministers of Shanghai Cooperation Organization member states; in late June, Indian Defense Minister Rajnath Singh led an Indian high-level delegation to China and attended the meeting of defense ministers of Shanghai Cooperation Organization member states. These two visits were the first visits by the Indian Foreign Minister and the Indian Defense Minister to China in five years.

Additionally, earlier this month, India's government think tank "NITI Aayog" proposed to relax additional review rules for Chinese investments. In June, the Indian Ministry of Foreign Affairs stated that it had reached a consensus with China to accelerate the restoration of direct flights between the two countries.

Indian Foreign Minister S Jaishankar, Oriental IC

Indian media believe that the easing of India-China relations is related to changes in India-US relations. New Delhi and Washington are experiencing major adjustments in their relationship, with significant differences on issues such as trade, diplomacy, energy transactions with Russia, and military procurement.

In this context, India is improving relations with China "on a phased basis" to send a signal to Washington that India "has not fallen into a geopolitical dilemma and still has choices."

"Balancing both sides" is not a new thing for India. However, Indian media analysis suggests that although this round of adjustment in India's relations with China can still be considered a "phase of warming," it also shows some new characteristics.

Firstly, the India-US relationship is in a highly unstable period. The US is forcing India to open up key sensitive industries and relax non-tariff barriers, which is a new and unsettling development for India. Moreover, during the India-Pakistan conflict in May, Trump repeatedly attributed the ceasefire to himself, causing strong dissatisfaction in India. India also accused General Electric of delaying the delivery of jet engines.

The report points out that India originally hoped to achieve a trade agreement favorable to Trump to boost India-US relations. However, a series of recent events, including sanctions threats related to Russia and progress in US-Pakistan relations, have greatly shaken India's hopes.

On July 30, Trump announced that starting August 1, a 25% tariff would be imposed on Indian products. Although Trump called India "a friend of the United States," he criticized India for "always buying most of its military equipment from Russia" and being "one of the largest energy buyers from Russia," using these as reasons to impose tariffs and "fines" on India.

In response, India only gave a low-key reaction, stating that it was studying the impact and would take all measures to "ensure our national interests."

Indian media point out that the development of India-China relations has been severely limited by "structural realities," i.e., strategic convergence between India and the US and strategic divergence between India and China. Although this structural factor still exists, it has loosened somewhat over the past one or two years.

Modi and Trump met at the White House in February, Visual China

Additionally, according to Indian media, aside from geopolitical factors, India's own manufacturing ambitions also make it impossible to "decouple" from China.

About five years ago, India adopted a certain "de-Chinese" strategy, introduced foreign investment policies targeting China, and excluded Chinese companies from key sectors such as telecommunications. However, currently, New Delhi is seriously reviewing its existing strategy and actively considering conditionally relaxing access for Chinese companies in India.

There are indications that India is gradually allowing Chinese companies to cooperate with Indian entities. The Indian large-scale electronic assembly company Dixon Technologies has received approval from the Ministry of Electronics and Information Technology to establish a joint venture with Chinese company Lianxi Technology. The new company will focus on the production and supply of various electronic products, including smartphones, tablets, true wireless Bluetooth earphones, smartwatches, automotive electronics, and medical devices.

"We can no longer continue to avoid China," said an Indian government senior official. "In fact, China produces the key components needed for our assembly business. If we want to go deeper into the supply chain, our companies must collaborate with Chinese enterprises."

Another Indian official said that given that China accounts for 60% of global electronics manufacturing capacity, India cannot completely decouple from China.

The Ministry of Electronics and Information Technology of India recently announced an electronics component manufacturing policy worth 230 billion rupees (approximately 2.7 billion USD). Industry experts generally expect Indian companies to collaborate with Chinese companies that have relevant professional capabilities.

Although the Indian government has tried to exclude Chinese companies from the finished smartphone sector, India still needs to import from China, especially electronic components. These products are crucial for India's final assembly process, while India has almost no production base in this area.

Data shows that in the fiscal year 2023-2024, India imported electronic components valued at over 12 billion USD from mainland China and 6 billion USD from Hong Kong. Together, they account for more than half of India's total imports of such goods. Over the past five years, the amount of electronic products imported by India from mainland China and Hong Kong far exceeds the total from other major manufacturing centers such as South Korea, Japan, and ASEAN countries. This indicates that while India expands its electronics manufacturing industry, its dependence on China has not decreased.

"As two great Eastern civilizations and major emerging economies, the essence of China-India relations is how to coexist harmoniously and achieve mutual success," said Wang Yi, a member of the Political Bureau of the CPC Central Committee and Foreign Minister of China, during talks with Indian Foreign Minister S Jaishankar in Beijing on July 14.

Wang Yi stated that both sides should look to higher ground and plan for the long term, adhere to the direction of friendly neighborhood, realize "the dance of the dragon and the elephant," find a way for the two countries to respect each other, live in peace, seek common development, and achieve win-win cooperation.

S Jaishankar stated that India and China are development partners rather than competitors, and India is willing to view the relationship with China from a long-term perspective. With the opportunity of the 75th anniversary of the establishment of diplomatic relations between the two countries, India will focus on shared interests, deepen mutually beneficial cooperation, enhance cultural exchanges, and jointly maintain peace and stability in the border areas.

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