India will benefit from cooperation not by turning away from its neighbor: China Daily editorial
China DailyIn his meeting with President Xi Jinping on the sidelines of the BRICS Summit held in Kazan, Russia, on Oct 23, Indian Prime Minister Narendra Modi noted that maintaining the steady growth of India-China relations was critical for the two countries and peoples. Against a complex international landscape, cooperation between India and China, two engines of economic growth, could help drive the global economic recovery and promote multipolarity in the world, he said. Despite the fact that China has emerged as the largest trading partner of India with $118.4 billion two-way trade in 2023-24, slightly edging past the United States, there have been reports in recent years about how the Indian government has adopted policies that have made it very hard for Chinese companies to operate in India. Yet the Indian government has been reluctant to share that view, having sought to cash in on the China Plus One supply chain strategy of some developed economies whereby companies seek alternatives to Chinese manufacturing. However, as reported by The New Indian Express, the Indian government think tank NITI Aayog admitted in its latest quarterly report that India has seen limited success so far in capturing the China Plus One strategy in comparison with Southeast Asian countries such as Vietnam, Thailand, Cambodia, and Malaysia, which the report said have become bigger beneficiaries of the strategy due to factors such as cheaper labor, simplified tax laws, lower tariffs and proactiveness in signing free trade agreements.