For years, India’s relationship with its biggest trading partner, China, has been defined by a one-sided kind of “buy-buy” – Indian hunger for Chinese machinery and equipment. In return, India exported low-grade ores to China. A trade surplus in China’s favour has now crossed $50 billion out of two-way trade of around $85 billion.
While the focus of India’s current trade strategy with China is to bridge the gap, chiefly by increasing exports of agricultural commodities hit by the China-US trade war, Beijing’s priorities have shifted elsewhere.
Since 2015, around $7 billion in Chinese funding has poured into the Indian