Xi calls China and India ‘friends and partners’ as trade war nudges ties closer

Chinese President Xi Jinping has described China and India as “good neighbours, friends and partners” as Beijing and New Delhi continue to stabilise relations against the backdrop of US President Donald Trump’s tariff war, which has rattled global trade.

Xi sent the message in a note congratulating Indian President Droupadi Murmu on India’s Republic Day on Monday, according to Chinese state media.

He said China–India relations had continued to improve and develop over the past year and were of “great significance for maintaining and promoting world peace and prosperity”, China’s official Xinhua news agency reported.

The warm tone reflects a broader reset between Asia’s two largest powers after nearly four years of strained ties following deadly border clashes in 2020 that killed at least 20 Indian soldiers. Four Chinese soldiers were also reportedly killed in the confrontation.

In the aftermath of those clashes, India banned the Chinese-owned social media app TikTok and imposed tighter restrictions on Chinese investment. Despite the political fallout, trade between the two countries continued to grow, surpassing $130bn annually.

Relations began to thaw more visibly as pressure mounted from Washington’s trade policies. Indian Prime Minister Narendra Modi travelled to China last August to attend the Shanghai Cooperation Organisation summit in Tianjin, signalling renewed engagement just days after the US imposed steep tariffs on Indian goods.

Since returning to office last year, Trump has pursued an aggressive trade agenda that has hit both economies. Indian exports to the US now face tariffs of up to 50 percent, among the highest globally, while Chinese goods are subject to tariffs exceeding 30 percent.

Beijing and New Delhi formally restarted high-level engagement in October 2024, when Xi and Modi met in Kazan, Russia, on the sidelines of a BRICS summit. It was their first formal talks in five years. India and China are founding members of the BRICS grouping, which Trump has openly criticised.

In his message to Murmu, Xi referred to China and India as the “dragon and the elephant dancing together”, according to Xinhua. He said he hoped both sides would expand exchanges and cooperation while addressing each other’s concerns to promote healthy and stable relations.