India Considers Calibrated Economic Reset with China Amid Global Trade Shifts

• India is exploring a phased and carefully calibrated opening of its economy to China, linking relaxation of restrictions to reciprocal steps from Beijing.
• Deliberations are influenced by a rapidly evolving global trade environment and potential sharper US tariff measures.
• The approach would be gradual, not broad-based; India has already eased business visa procedures for Chinese professionals.
• Government is assessing softening investment-related curbs, emphasizing reciprocity as China still restricts several services exports.
• Groundwork includes recommendations from a NITI Aayog committee and the Economic Survey 2023-24 advocating for Chinese investment.

Why It Matters: India plans a cautious economic re-engagement with China, seeking reciprocity amidst global trade pressures.