India Moves to Lift Curbs on Chinese Companies

By Staff, Agencies

India plans to lift restrictions on Chinese firms bidding for government contracts, reversing curbs imposed in 2020 following a border clash that strained ties between the two neighbors.

New Delhi added extra clearance requirements for firms from neighboring countries, effectively targeting Chinese companies, Reuters reported.

The present plan by the Finance Ministry to ease the curbs is part of a broader reassessment of ties with China, the news agency added.

The proposed shift in policy is the latest sign of improved ties between New Delhi and Beijing.

India’s diplomatic engagement with China has gathered momentum since 2024, while military-level talks have helped defuse border tensions.

The thaw began after Indian Prime Minister Narendra Modi and Chinese President Xi Jinping met at the BRICS summit in Kazan in October 2024, agreeing to restore business, tourism, and cultural ties.

Modi and Xi also held talks on the sidelines of the Shanghai Cooperation Organization [SCO] summit in Tianjin in August 2025, where the two leaders agreed to further build ties. 

Direct flights between China and India officially resumed in October 2025 after a hiatus of five years.

In December, Beijing relaxed visa rules for Indian nationals, allowing online applications, as both nations took another step toward normalizing economic ties. The move removed the need for initial in-person visits to Chinese diplomatic missions.

New Delhi also dropped a layer of bureaucratic scrutiny and shortened visa approval times to less than a month to fast-track business visas for Chinese professionals.

India-China relations are warming even as the US considers new Russia sanctions. A bill by Senator Lindsey Graham would allow tariffs of up to 500% on imports from countries that continue purchasing Russian energy.

Beijing has accused the US of seeking to undermine its ties with India.