India, China in talks to resume border trade amid U.S. trade pressures

[China and India two flags together textile cloth fabric texture]
Oleksii Liskonih

India and China are reportedly discussing the resumption of border trade in locally made goods after more than five years, as the Asian neighbors seek to ease long-standing tensions amid rising trade disputes with the United States.

Both sides have proposed restarting trade through designated points on the shared border, and the matter is currently under bilateral discussion, _Bloomberg_ reported on Thursday.

China’s Ministry of Foreign Affairs said Thursday that Beijing is “willing to step up communication and coordination with India” on the matter.

Additionally, India and China are also in advanced negotiations on resuming direct flights, according to several media reports. IndiGo CEO Pieter Elbers said on Wednesday that the airline stands ready to resume direct flights between India and China.

This policy shift comes in response to recent trade actions by US President Donald Trump, who increased the total tariff on Indian imports to the United States to 50% due to India's continued purchases of Russian oil.

Earlier this year, China stated it had no intention of flooding global markets with artificially low-priced exports, according to its ambassador to India, who aimed to reassure international partners about Beijing’s trade practices. [https://seekingalpha.com/news/4436851-china-says-it-won-t-flood-india-with-cheap-goods-urges-stronger-ties]

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