India, China Resume Border Trade After Six-Year Pause

By Staff, Agencies

India and China will resume border trade from August 1, marking another step toward normalizing relations between the two countries following years of tensions.

Trade through the Nathu La Pass will resume after a six-year suspension that began during the Covid-19 pandemic.

Officials from both sides are expected to attend the reopening ceremony, with the move anticipated to boost cross-border commerce and benefit traders, transport operators, and related businesses. Nathu La is part of the historic Silk Road linking Asia with West Asia and Europe.

Border trade through the Lipulekh Pass, which was suspended in 2020, is also expected to resume after preparatory work delayed the reopening despite the trading season beginning on June 1.

India and China have gradually restored economic and trade ties since the deadly 2020 border clash in eastern Ladakh that killed 20 Indian soldiers and at least four Chinese soldiers.

Both countries have since introduced confidence-building measures, including plans to resume direct flights, ease visa procedures, and restore border trade.

Earlier this month, India also approved Chinese investment in its power sector and cleared a joint venture for mobile phone manufacturing, reflecting continued progress in bilateral economic relations.