India speeds up visa process for Chinese businessmen; Thawing in relations amid America’s record tariffs

India has reduced the time period for issuing business visas to Chinese business executives and professionals, indicating a step up economic engagement between the two countries. reuters According to reports, India has reduced the visa approval timeline to four weeks by removing a layer of administrative waiting. The move comes at a time when relations with China are gradually improving and the US has imposed record-level tariffs on Indian exports. “We have removed the layer of administrative waiting and are processing business visas within four weeks,” an Indian official told Reuters.

China’s Foreign Ministry described this initiative of India as positive. Ministry spokesperson Guo Jiakun said China has noted the positive actions taken by India and the two countries will continue dialogue to further facilitate people-to-people contacts.

Indian and Chinese relations had seriously deteriorated in 2020 due to tensions along the LAC in eastern Ladakh. In May 2020, tensions escalated due to infiltration of Chinese troops into disputed areas, leading to multiple face-offs at Pangong Lake and Galwan Valley.

The height of tensions came on 15 June 2020, when 20 Indian soldiers were martyred and at least four Chinese soldiers died in a violent clash in the Galwan Valley, the first time since 1975 that there were casualties on the border.

After several rounds of Corps-Commander level talks and diplomatic dialogues in the last five years, the situation gradually started returning to normal. Progress accelerated in 2024, and complete liberation of Depsang and Demchok was completed in December 2024 following the 22nd Corps Commander meeting in October 2024.

US import duty on India reached a record high of 50% during Trump’s second term. According to analysts, this has forced India to strategically lean towards China to maintain trade balance.

India-China bilateral trade reached $127.7 billion in FY25, up from $118.4 billion in FY24. China remains India’s second largest trading partner after America. Preliminary data for FY26 (April–July 2025) shows India’s exports to China increased by 19.97% to $5.75 billion, imports from China increased by 13% to $40.65 billion.

Experts believe that this trend could be further strengthened in the coming months due to relaxation in visa process, flexibility in investment rules and improvement in border trade, although India continues to stick to the policy of export diversification and reducing dependence on China.

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