Prime Minister Narendra Modi and Chinese President Xi Jinping met in Tianjin on Sunday, August 31, on the sidelines of the Shanghai Cooperation Organisation (SCO) summit, marking Modi’s first visit to China in seven years. Both leaders reaffirmed their commitment to finding a “fair, reasonable, and mutually acceptable” solution to the long-standing boundary issue while pledging to enhance trade and investment ties. Modi emphasised that peace and tranquillity along the border are essential for bilateral progress, adding that relations must be based on “mutual trust, respect, and sensitivity.” Xi echoed this sentiment, stressing the importance of stability and cooperation between the two largest Asian economies for the broader benefit of global trade and multipolar world order.
The talks gained significance in the backdrop of global trade disruptions, particularly after sweeping U.S. tariffs under President Donald Trump affected both Indian and Chinese exports. The two leaders agreed that their cooperation, representing 2.8 billion people, is vital for stabilising world trade. They reviewed progress since their previous meeting in Kazan, noting that disengagement along the border and a prevailing atmosphere of peace have laid the foundation for stronger ties. Both leaders stressed that India and China should be viewed as development partners, not rivals, and that their differences must never be allowed to escalate into disputes.
Modi and Xi further agreed to expand people-to-people exchanges through direct flights, visa facilitation, and cultural programs, while also welcoming the resumption of the Kailash Manasarovar Yatra. On economic cooperation, they underlined the need to reduce the trade deficit and explore new avenues for mutual investment. Modi expressed support for China’s SCO presidency and extended an invitation to Xi to attend the BRICS summit India will host in 2026, which Xi accepted. The meeting reflected an effort from both sides to reset ties that had been strained since the Galwan Valley clashes of 2020, highlighting their shared interest in stability, development, and multipolar cooperation in the 21st century.