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New direction in India-China relations: Possibilities emerging from recent agreements

- India and China signed a new patrolling agreement to maintain peace and stability on the border.
- Direct flights and promotion of tourism
- Religious travel and tourism
- Reopening of Shipki-La route
- New direction in trade and investment
- SCO summit India China
- India’s chairmanship of BRICS: Support and partnership from China
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If we look at it, the tension between India and China is not hidden from anyone—whether it is border dispute or trade imbalance, problems have been constantly coming to the fore. But during 2024-2025, both the countries have made some important agreements. This has increased the hope of improvement in bilateral relations. Now all eyes are on how these agreements give practical results and whether there will be a new beginning of stability and cooperation in India-China relations.
India and China signed a new patrolling agreement to maintain peace and stability on the border.
India and China have signed a new patrol agreement aimed at ensuring stability and peace on the border. In November‑December 2024, the two countries agreed to restore patrolling in sensitive areas like Kargil and Galwan to the status quo as before 2020. The main objective of this agreement is to reduce tension on the border and strengthen trust between the two sides.
Direct flights and promotion of tourism
In 2020, direct flights between India and China were stopped due to the Covid pandemic and tension in the Galwan Valley. Now both the countries have agreed to resume direct flights from 2025. Air India, IndiGo and many major Chinese airlines are already ready for this.
Religious travel and tourism
Prime Minister Modi said- An important consensus has been reached between our special representatives regarding border management. Kailash Mansarovar Yatra has started again, which is a positive step for both the countries.
Reopening of Shipki-La route
Shipki-La Pass is in the news these days, and the reason for this is very important. Recently, India and China have planned to resume cross-border trade through Shipki-LaPass in Himachal Pradesh. This proposal has been accepted in principle by both the countries during the visit of Chinese Foreign Minister Wang Yi to India. It is worth noting that due to the Kovid-19 epidemic, trade through this route was completely stopped in 2020, and now the process of restarting it has accelerated.
From a trade point of view, this decision indicates improvement in bilateral economic, cultural and diplomatic relations. Shipki-La Pass is located on the Indo-China border in Kinnaur district of Himachal Pradesh and its altitude is about 3,930 meters. This route is also suitable for motor vehicles, which facilitates trade movement. Historically, this pass has been a major trade route between India and Tibet (now part of China) and was formally recognized as a border trade point under the 1994 bilateral agreement.
The reopening of this route can provide new opportunities for tourism, cultural exchange and economic development to Kinnaur and surrounding areas. This route is also shorter and convenient than other routes for Kailash-Mansarovar Yatra. From a trade point of view, earlier this route used to exchange wool, yak skins, religious items from Tibet and grains, spices, wood etc. from India. With the resumption of trade, cross-border economic activities will increase, which will also create employment and tourism opportunities at the local level. This step can promote diplomatic dialogue between India and China and contact between communities, which will also contribute positively to regional peace and stability.
New direction in trade and investment
Talking about business, the atmosphere is quite lively. China has given some relaxation on the export of rare earth minerals, fertilizers and some strategic things to India-this is a very positive signal. On the other hand, India is also showing signs of rethinking the FDI rules, which can raise new hopes for investors. These initiatives of both the countries can give a new direction to economic cooperation.
SCO summit India China
The 25th SCO Summit was held in Tianjin, China from 31 August to 1 September 2025—the fifth time the summit was held in China.
Prime Minister Narendra Modi and Chinese President Xi Jinping held bilateral discussions during the summit, focusing on maintaining stability in border areas and enhancing economic cooperation.
The two leaders said in a joint statement, “We are partners, not rivals,” indicating a positive atmosphere in bilateral relations.
India’s chairmanship of BRICS: Support and partnership from China
India will host BRICS in 2026—this is a big opportunity for the country. Prime Minister Modi has sent an official invitation to Chinese President Xi Jinping. China has accepted the invitation and assured India of full support and cooperation. The leaders of both countries have given positive signals about their commitment and mutual partnership for a successful event. Now all eyes are on the BRICS summit of 2026, where India will play a leadership role.
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