As Prime Minister Narendra Modi and President Xi Jinping began their two-day summit, an official status report here on India-China relations said a closer economic relationship is now part of bilateral ties.
Economic ties between China and India have become closer in recent years, the report by state-run Xinhua news agency said.
The two economies are highly complementary and have good potential for increased cooperation, it said.
The report pointed out that bilateral trade reached a record high of USD 84.4 billion last year, up 20.3 per cent from 2016, the fastest growth for five years.
It said China has become the largest trading partner of India, with imports rising by more than 40 per cent in 2017. Bilateral trade in Q1 hit USD 22.1 billion, up 15.4 per cent year-on-year.
Chinese and Indian businesses signed 101 trade agreements in March, with a total contract value of USD 2.4 billion, it said.
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The report said Chinese investment in India added up to more than USD 8 billion by the end of 2017, with India an important destination for infrastructure cooperation and investment.
Indian investment in China has grown by an average of 18.5 per cent during the past three years, it said adding, Chinese smartphone brands are popular in India. It said Xiaomi has a market share of 27 per cent and shipped nearly 8.2 million units in Q4 of 2017.
The report said China and India are home to over 35 per cent of the world's population and contribute about 20 per cent of global GDP.