Sanjaya Baru | India & China: Of power, performance & posturing
Deccan ChronicleA note written by Sardar Vallabhbhai Patel, the country’s first home minister, in 1949 on the view India ought to take of China is once again in the news. By not allowing the border issue, with China occupying newly acquired territory along the so-called “Line of Actual Control” to further mar the relationship, Prime Minister Modi has yielded space and conceded ground. Says Mr Zhang: “When discussing the trade imbalance between China and India, Indian representatives earlier used to primarily focus on China’s measures to reduce the trade imbalance. But now they are placing more emphasis on India’s export potential.” In short, what Mr Zhang is saying is that rather than complain about China’s unfair trade practices and the “unlevel” trade playing field, as India did for close to two decades, including through Prime Minister Modi’s first term, it had now come around to accept the size differential between the two and it now views the trade deficit as a consequence of India’s “limited” export potential and weak performance.