August 31, 2025, bilateral meeting between Prime Minister Narendra Modi and Chinese President Xi Jinping in Tianjin during the Shanghai Cooperation Organisation (SCO) summit assumes importance, given Modi’s first visit to China in seven years and the attention drawn by hostilities between the two countries against subsequent dwindling trade prospects. PM Modi Meets China President xi On Trump Tariff Talks.
A focus was placed on the growing tariff dispute induced by the U.S. Increased duties imposed by Washington upon exports from India have now risen to 50% based on the grounds of India’s continued oil purchase from Russia. For New Delhi, this has raised substantial economic concern. Modi stressed that India would act in its strategic independence and should not allow “third-party compulsions” to influence its decision, implying that India will not be beholden to U.S. actions in determining its foreign policy.
Xi Wants Partnership Not Competition
President Xi argued that India and China should not be seen as rivals but partners in development. He sought greater economic cooperation and warned that bullying from external powers should not sway the future of the region. A comment regarded as especially directed at Washington’s protectionism. He also said that while reducing tensions on the border, one must also find avenues for cooperation.
Some Steps Toward Normalization
The two leaders agreed on various confidence-building measures, including the resumption of direct flights between the two countries, simplifying visa arrangements for professionals and pilgrims, and renewing discussions regarding the border. Modi also referred to India’s large trade deficit with China, which he presumed to be around $99 billion, requesting that both sides work toward greater market access.
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Working Tension Complemented With Opportunity
Structural challenges exist, border tensions, strategic partnerships with Pakistan, etc. However, the re-orientation of relations reflects the recalibration. Analysts suggested that India and China are exploring avenues for cooperation, perhaps as a response to heightened U.S. trade pressure. For both leaders, the talks in Tianjin were less about the resolution of all disputes and more about finding common ground upon which to stabilize the badly shaking relationship.