On China-India relations

Published: May 24, 2015
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The writer is a former caretaker finance minister and served as vice-president at the World Bank

The writer is a former caretaker finance minister and served as vice-president at the World Bank

By population, China, India and Pakistan are three of Asia’s four largest countries. Each borders the other two. Each has a new set of leaders who are trying to insert new dynamism into their relations and redefine the bases on which they were managed in the past. There have been exchanges of visits. Since taking office, President Xi Jinping of China has paid visits to both India and Pakistan. Nawaz Sharif, Pakistan’s prime minister, has also been to India and China — to the latter a number of times. Indian Prime Minister Narendra Modi, the newest among these three leaders, has only been to China. He has been invited to visit Pakistan but has not indicated when he will be able to make such a trip. The focus of all these visits was mostly on bilateral issues. According to news reports, Prime Minister Modi expressed some concern in his Xian and Beijing discussions about the location of some of the large projects China had agreed to finance in Pakistan. Among those he objected to was the China-Pakistan Economic Corridor (CPEC) that will pass through what India regards as disputed territory.

There are serious border issues between China and India as the former claims some of the territories the latter regards to be its own. India has created the state of Arunachal Pradesh which China calls “little Tibet”. Similarly, the Chinese have taken control over Aksai Chin which the Indians claim is a part of the state of Jammu and Kashmir. These border tensions surfaced when President Xi paid a visit to India. While Xi was in India, China’s People’s Liberation Army (PLA) crossed the so-called Line of Actual Control in Kashmir. “That created a great deal of negative impact in India with regard to China’s long-term intentions,” TCA Rangachari, a former diplomat and Sinologist, told reporters in Beijing on the eve of Modi’s arrival in China. “How is it that Xi Jinping, who is head of the Chinese Communist Party’s central military commission and therefore commander of the PLA, visits a country at the same time troops are where they should not be?”

Some new ground was broken on this and other issues during Modi’s visit to China. Among the 20 agreements signed by the two countries were confidence-building measures between the Chinese and Indian militaries. A hotline was to be established between the commanders working on both sides of the disputed territories. The Chinese also agreed to take steps to close the large gap that had developed in their favour in trade with India. Bilateral trade between the two countries had touched $73 billion in 2012.

The Chinese also showed interest in investing in improving India’s communication infrastructure. There were indications that Chinese companies may partner with the Indian government in that country’s large but seriously underdeveloped railway network. A couple of specific projects and amounts were mentioned. The Indian leader’s visit added a couple of billion dollars to the amount already pledged by President Xi when he met Modi in New Delhi. The total amount adds up to $22 billion. In Pakistan, on the other hand, President Xi signed agreements to develop the CPEC, invest in a number of power plants and locate industrial estates along the CPEC. Pakistan is set to receive as much as $46 billion from the Chinese. Most of this amount will go into the sectors — energy and infrastructure — in which Pakistan needs to make lasting investments.

By the time Modi concluded his three-country visit to China, Mongolia and South Korea, he would have been to 19 countries. He is expected to visit Bangladesh in the near future. With that trip he would have called on all the countries in India’s neighbourhood except Pakistan. Some foreign policy analysts see a well-designed three-phase strategy the Indian prime minister is pursuing in foreign affairs. According to Financial Times Victor Mallet, the first phase was to quickly rebuild India’s frayed relations with its immediate neighbours. That took Narendra Modi to Bhutan, Nepal, Sri Lanka and Mauritius.

The second phase was to engage with global and Pacific powers, including nations such as Japan, Australia and, of course, the United States. The Indian prime minister’s forays into Mongolia and South Korea right after calling on the leaders in China brings him into the third phase of his strategy. This will bring “the diplomatic tussle between the two most populous countries in the world to China’s own doorstep,” writes Mallet. If this assessment is correct, what will be the consequences for Pakistan of India’s entry into this game of “China-containment”?

New Delhi, under Narendra Modi, has adopted an aggressive stance towards Pakistan. That was expected but there was also the hope that with the Hindu nationalist BJP firmly under his control, Modi could take the “Nixon in China” step with reference to relations with Pakistan. In a conversation in his residence in New Delhi more than a decade ago, L K Advani, who, under the previous BJP government had served as deputy prime minister, suggested that it will be a BJP government that will restore relations between India and Pakistan to the point where they will become responsible leaders. He said to me: “Mark my words, relations with Pakistan will only improve under a BJP-led government.” That prediction is not coming true and Pakistan has already begun to respond to what it perceives as an increased threat to its security from India. Unfortunately, under Modi, India-Pakistan relations are not likely to improve.

Published in The Express Tribune, May 24th, 2015.

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Reader Comments (11)

  • Vakil
    May 24, 2015 - 4:36AM

    Wow, this author does not even know the difference between “Little Tibet” and “South Tibet” (ask any Chinese Official about which of these terms they refer to ‘Tawang’ – and this is only a portion of Arunachal Pradesh, a State whose population vote over 80% in elections under the Indian Constitution incidentally!) — and here he is writing about International relations between China and India and other countries…!! At best, a good laugh!Recommend

  • DNiwasi
    May 24, 2015 - 6:15AM

    Incorrect. Stability is preceeded by upheavel in the garb of bringing out tough issues on the table. Pakistan has not reciprocated to all the goodwill from India’s side in last 30-40 years partly due to its constantly changing leadership and distribution of powers between competing entities. Not only Pakistan has not reciprocated India’s solidly good one-sided gestures, but since independence, Pakistan has entered into strategic relationships inimical to India with a clear intent to contain and limit India, fed by its’s mindless belief of pan Islam and eventual Islamization of India. As if all this was not enough, Pakistan has constantly nurtured terrorists of all hues and conducted hundreds of deadly terror strikes inside India. So now India needs to take steps for self defense. To expect it to act tame like it was under Congress rule is to deceive oneself and to be very unpractical. India is now bound to follow a 2 pronged strategy- Collaborate with Pakistan where it sees signs but be ready for the worst.Recommend

  • Fazal Dad
    May 24, 2015 - 8:28AM

    @DNiwasi:
    This happens when perceptions change into misperceptions and particularly when the sincere intentions are read with crooked eyes and myopic vision Robert Jervis, Perceptions and Misperception in International Politics, 1976).
    Power in Pakistan is widespread and not between contending/competing entities. Institutions always compete with each other in any bureaucratic foreign policy decision making process.
    Mr. Burki: I saw this editorial after reading your piece. Hope this may help you and the readers to understand the overly glamorized public relations campaign. http://www.epw.in/editorials/world-win.htmlRecommend

  • ModiFied
    May 24, 2015 - 9:13AM

    Modi or no Modi, India Pakistan relations will never improve till Pakistanis believe in two nation theory. Recommend

  • Anjaan
    May 24, 2015 - 11:04AM

    The author is only partly correct … the relations between Pakistan and India are not likely to improve, pending the closure of the Mumbai massacre by the Pakistani gunmen, Modi or no Modi … !Recommend

  • umesh
    May 24, 2015 - 8:46PM

    @DNiwasi: Very correct.Recommend

  • hzr
    May 24, 2015 - 10:01PM

    @DNiwasi:
    If Pakistan becomes friendly with India then it will be a problem for India baiters and those who always justify partition.Recommend

  • zoro
    May 24, 2015 - 10:12PM

    Yes there will be peace with India ….
    as Pakistan will have to sit and watch as India will have gone too far for her reach in all perspectives …. and obviously a cornered country like North Korea….Recommend

  • Saif
    May 25, 2015 - 1:02AM

    some facts –investment totalled above 55 billion in recent times form China ..20 billion when Xi visited India and when Modi visited it was 10 billion between Govt to Govt…22 billion between corporates and later on additonal 3.5 billion was agreed to be invested in state of Gujarat by China …10+22+20+3.5 =55.5 billion dolars Recommend

  • DNiwasi
    May 25, 2015 - 3:03AM

    @Fazal Dad: My feedback was specific to Mr Burki;s comments pertaining to slow speed of development of Indo-pak relations unlike Indo-China or Pak-China. So your link about over-glamorized Modi visit to China was out of topic. Agreed it was over glamorized a bit (by stupid Indian media that i do not consider very matured but in this case it may be by design), however you will have to hand it over to us that we manage our relationship with China despite our weakened position, despite serious arm twisting, despite the provocations in a manner that would rival the highest art of diplomacy, something very alien to Pakistan because it is country which is a sitting duck waiting to be manipulated by any country in a ‘giving’ mode because it is more proposerous than it.

    I will read that book when I get the chance but in layman’s terms, Pakistan’s sense of goodwill (or good gesture) is if India gave up kashmir and other things…and allowed Pakistan to nurture terror networks without questioning and eliminate or mistreat its minorities without questioning. Unfortunately India has done both of the latter. Despite all of that, relations remain very bad. Recommend

  • NAbeel
    May 25, 2015 - 6:32PM

    India does not gain much from normalizing relations with Pakistan.. a few more qawwalis and ghazals concert and some more Cricket Matches… but the border tensions and the NON-STATE ACTORS continue to flourish…..

    The gains for Pakistan are much much more than that for India. So logically, Modi may not take the first step to normalize ties liek teh congressmen did.. Also, the current generation of BJP folks are not Punjabi origin or are connected to western India and thus have no cultural connectio nfrompast to Pakistan unlike a Manmohan singh or LK Advani ( a sindhi).. Hence they are less emotional and more practical and will look for any substantial gains coming out of the deal for India..

    If more business pours in into India in next 2-3 years and jobs are created by make in India and other campaigns…. then Modi will focus more on India only and will start giving back to neighbors other than Pakistan…The idea will be to isolate Pakistan and keep other neighbors happy…

    But another likely scenario is that there will be constant encouragement from state as well as political parties for some ACTION by NON-STATE ACTORS !!!!!!!!Recommend

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