Newspaper Article 21/10/2025
Indian airline IndiGo will start direct flights from Calcutta to Guangzhou from 26 October 2025 onwards. The direct flights between India and China were closed in 2020 due to the violent clashes along the disputed Himalayan border. The border clashes along the Galwan Valley led to the killing of 20 Indian soldiers. Before the border clashes, IndiGo maintained daily services to Chengdu and Guangzhou, while Air India flew five times weekly to Shanghai from New Delhi.
The recent high-level exchange between the two countries, the interaction between the Foreign Ministers in New Delhi, followed by President Xi Jinping’s meeting with Prime Minister Modi on the sidelines of the SCO Defence Summit in Tianjin, China, has led to a thaw in bilateral ties. Last year in October, both India and China agreed on patrolling arrangements along the disputed Himalayan border.
In April 2025, the Chinese Foreign Ministry allowed Indian pilgrims to travel to holy sites in the Tibet Autonomous Region. Mount Kailash and Lake Manasarovar in China’s Tibet are sacred places for many religions, including Tibetan Buddhism and Hinduism. With direct flight connectivity between India and China, business opportunities, tourism, as well as prospects of educational linkages between the two countries will increase. The development also points to the fact that India, owing to its alliance with the US in the Indo-Pacific, is also trying to maintain ties with China. India has a bilateral trade of US$131.84 billion with China (India’s trade deficit with China is US$99.2 billion).
India’s tilt towards China could be seen as a fallback to the US imposition of tariffs on Indian imports
Regionally, India’s opposition to CPEC and membership in the Quad point towards India’s anti-China posturing in the Indo-Pacific region. India has tried to promote the narrative of ASEAN countries on the South China Sea that conflicts with China. India, along with Vietnam, has been involved in the exploration of oil and gas in the Sea. In the backdrop of India’s anti-China alignment in the region and opposition to China’s economic footprint in the Indian Ocean, still, India has resumed direct air connectivity with China. Is it the economic factor behind the initiative, or is it a realisation that opposition to China will isolate India in South Asia in the long run?
Seeing the political dynamics of South Asia, the region with seaports and corridors is heading towards economic integration. South Asia’s economic connectivity with East and Central Asia through CPEC will impact the region’s political outlook. The regional countries, in pursuance of economic benefits, will look for trading links in adjoining regions.
This economic engagement will bring in new actors in the region. China, being a lead player in CPEC, is likely to play an active role in the region. Pakistan, Bangladesh, and Sri Lanka have all joined the BRI; thus, China’s vision of regional connectivity has wider acceptance in South Asia. It seems India has lost to China’s economic prowess, led by regional connectivity. Therefore, India, by engaging with China, is attempting to align with the region’s evolving political landscape.
Globally, India’s tilt towards China could be seen as a fallback to the US imposition of tariffs on Indian imports. White House Trade Advisor Peter Navarro opines, “India acts as a global clearinghouse for Russian oil, converting embargoed crude into high-value exports while giving Moscow the dollars it needs.” We have objected to India’s purchase of Russian oil.
The US has imposed an extra 25 per cent tariff on imports from India, making the total punitive duties on Indian goods 50 per cent, the highest tariff in Asia. India’s import of crude oil from Russia has lessened its dependence on crude oil imports from Persian Gulf countries. India refines crude oil (India’s refining capacity is 5.17 million barrels per day) and supplies petroleum products to approximately 160 countries globally. Europe is also a recipient of India’s refined crude oil/petroleum products. Thus, for India, procuring crude oil from Russia and exporting it further carries economic benefits.
Note: This article appeared in The Friday Times.
Disclaimer: The views expressed in the article are of the author and do not necessarily represent Institute’s policy.
