Chinese Premier Li Qiang acknowledges that bilateral relations and economic cooperation between China and the United States are facing difficulties and calls for sincerity, mutual efforts, and the protection of international trade rules.
Indian Prime Minister Narendra Modi expressed his support for the expansion of BRICS membership, while Chinese President Xi Jinping called for the process to be accelerated, potentially boosting the group's global influence and countering the dominance of the Group of Seven. Several nations have shown interest in joining, with China taking the lead in pushing for expansion. However, India has advocated for a cautious approach due to concerns that the bloc may become influenced by its neighbor.
China's commerce ministry spokesperson, Shu Jueting, expressed China's willingness to engage in comprehensive discussions with the United States to address economic and trade issues during the upcoming visit of U.S. Commerce Secretary Gina Raimondo.
China has a complex network of trade partnerships with over 200 countries, regions, and territories, and it has a trade surplus with the majority of them, including the US and India, while having deficits with major Asian economies like Taiwan, Japan, and South Korea. These trade relationships are influenced by historical, geopolitical, and strategic factors.
India's adversarial relationship with China and its moves to block imports and investment from China could complicate its involvement in BRICS, as China seeks to expand the group and use it as a platform to challenge Western dominance.
Indian Prime Minister Narendra Modi's exchange with Chinese President Xi Jinping at the BRICS summit in South Africa suggests a potential thawing of the financial relationship between the two countries, with India showing interest in a larger Chinese presence in its businesses and a softening of its screening policy for investments.
Chinese President Xi Jinping will host the leaders of heavily indebted nations, Zambia and Venezuela, for state visits to China, prioritizing bilateral diplomacy over participation in the G-20 summit in India, symbolizing China's preference for conducting diplomacy on its home soil or within groups where it holds more influence.
President Joe Biden has reiterated during his visits to India and Vietnam that his goal is not to "contain" China, but rather to strengthen relationships and ensure China plays by the rules of the international order.
India, along with the US and Europe, effectively countered China on the world stage during the G-20 summit by reaching agreement on a joint communique and bolstering India's status as a rising power capable of blunting China's global influence.
China's Foreign Minister Wang Yi emphasizes the importance of maintaining an "open attitude" and rejecting protectionism in China-EU cooperation, stating that the two sides are partners rather than rivals.
India has the opportunity to exert influence over China by providing small loans to heavily indebted countries, which would give India a seat at the negotiating table and enable them to demand debt reductions from China.
Tensions between the West and China are impacting global markets, leading to potential inflation and higher interest rates, while presenting opportunities for emerging nations and tech giants; strategies such as bringing manufacturing home and "friendshoring" are being pursued, with India viewed as a strong competitor to China in manufacturing; the clash between China and the West also has implications for sectors such as semiconductors, luxury goods, and investment in China; investors are divided on how to approach the Chinese market.
