POINTS OF CONTENTION

1. BOUNDARY DISPUTE

The Doklam standoff between India and China highlighted the strains on the undemarcated 3,500 km-long border. The process of clarifying the LAC remains stalled and a solution remains elusive, even as both sides are discussing ways to strengthen border mechanisms to prevent the recurrence of faceoffs. Meanwhile, efforts to beef up infrastructure on both sides of the LAC continue apace, with India moving to close the gap.

2. TRADE

Trade is growing, but so is China’s surplus, which crossed $50 billion last year. Indian IT and pharma companies complain of no market access in China, while Chinese investments have been pouring into India, but not where Delhi favours them: Chinese companies are buying Indian start-ups, while they are slow to invest in the Make in India programme.

3. TIBET

China remains forever suspicious of India’s use of “the Tibet card” and the Dalai Lama, and was angered by his visit last year to Tawang. Low-key celebrations for this year’s anniversary events were ensured to prevent a disruption in ties.

4. TERRORISM

China’s concerns on terror, with an uptick in violence in Xinjiang, are growing. Yet its reluctance to pressure Pakistan has emerged as a barrier in forging common cause with India, with Beijing refusing to sanction Jaish-eMohammed chief Masood Azhar.

5. THE PAKISTAN FACTOR

The China Pakistan Economic Corridor through PoK shows no signs of slowing down even as Beijing deepens its embrace of Islamabad by pledging $50 billion. Xi’s pet Belt and Road Initiative has emerged as the latest sticking point.