India Pushing China For Border Trade Resumption As PM Modi Set To Attend SCO Summit Amid US Tariff Tensions

The Government of India has initiated discussions with China to restart border trade through the Nathu La Pass in Sikkim and two other designated routes, Lipulekh Pass in Uttarakhand and Shipki La Pass in Himachal Pradesh.

These routes have been closed for four years following a suspension caused by the COVID-19 pandemic.

Responding to a question in the Rajya Sabha, Minister of State for External Affairs Kirti Vardhan Singh said these three points have served as official trade links between the two countries for decades: Lipulekh since 1992, Shipki La since 1995, and Nathu La since July 2006.

However, all trade activity through these routes came to a halt in 2020 amid pandemic-related restrictions and has not resumed since.

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Singh confirmed that the Centre is engaging with its Chinese counterparts to facilitate the reopening of these routes, which are critical for local economies, particularly for traders in remote border regions.

The development comes as Prime Minister Narendra Modi prepares to visit China for the Shanghai Cooperation Organisation (SCO) Summit in Tianjin from 31 August to 1 September, his first trip to the country since the 2020 Galwan clash.

According to reports, discussions at the regional meet will cover security, counter-terrorism, and trade cooperation, and could offer an opportunity for informal talks with Chinese President Xi Jinping and Russian President Vladimir Putin.

The SCO summit will unfold against the backdrop of fresh trade friction with Washington.

US President Donald Trump announced an additional 25 per cent tariff on Indian imports, raising the total to 50 per cent, over India’s oil purchases from Russia.

With both border trade revival and high-stakes geopolitical negotiations in play, Modi’s China visit is expected to be closely watched for signs of progress in stabilising ties with Beijing while managing growing friction with Washington.

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