Abstract:

India-China relations in the 21st century have transitioned from a phase of strategic partnership and economic interdependence to one defined by intense rivalry, border tensions, and geopolitical manoeuvring. Bilateral trade has surged from under $3 billion in 2000 to $118.4 billion in 2023-24, yet persistent disputes along the 3,488-km Line of Actual Control (LAC), exemplified by the 2020 Galwan clash that killed 20 Indian and four Chinese soldiers, have strained ties. China's Belt and Road Initiative (BRI) and India's non-participation, coupled with Beijing's growing influence in South Asia via projects like the China-Pakistan Economic Corridor (CPEC), highlight economic asymmetries and strategic divergences. Geopolitically, India has deepened alliances through the Quad (with the U.S., Japan, and Australia) to counter China's Indo-Pacific assertiveness, while engaging in multilateral forums like BRICS and SCO to balance relations. The 2024 border patrolling agreement in Ladakh and the resumption of direct flights and the Kailash Mansarovar Yatra in 2025 signal a cautious thaw, amid the 75th anniversary of diplomatic ties. This paper analyzes historical context, economic dynamics, border disputes, geopolitical implications, and recent diplomatic efforts. Drawing on trade data, diplomatic records, and expert analyses, it explores how both nations can manage competition to foster stability. Recommendations emphasize sustained dialogue, economic diversification, and multilateral cooperation to prevent escalation and harness shared growth potential in a multipolar world.

Keywords:

India-China Relations, Border Disputes, Belt and Road Initiative, Geopolitical Rivalry, Economic Interdependence, Post-Galwan De-escalation

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