Sino-Indian Friendship: The Test on the Peaceful Rise of China
Two Asian giants once again set a target on each other for a greater partnership. This year marks the 60th anniversary of the Five Principles of Peaceful Co-existence that promised non-aggression and cooperation between China and India. Having declared the year 2014 as the Year of Friendship, the two countries are bolstering their economic and political ties. In February, China offered to finance 30% of India’s infrastructure development expense—this offer not only exceeds the funds from Japan, India’s traditional economic partner, but also is currently the greatest offer to India by a single country. China’s premier Le Keqiang and India’s Vice President Ansari have exchanged words to peacefully resolve their territorial dispute and to mutually benefit from the enhanced economic partnership.
The relationship between China and India is a very complicated yet remarkable one. The two countries bordering each other host about 36% of the world population. The two giants have long suffered from the dispute surrounding Arunachal Pradesh, a region around the McMahon Line which roughly defines the boundary between the two countries. While India has administered Arunachal Pradesh as one of its 29 states, China claims the region as Southern Tibet. In return, India has maintained a favorable attitude towards the Tibetan separatist movement, hosting Tibetan migrates in its territory. Until very recently, the two countries have frequently collided with each other around the region and have undergone a series or arms race. There exists economic rivalry as well. Both being the world’s fastest growing economies, China and India are competing for investment and natural resources in foreign lands, such as Africa. So far, China has more aggressively and successfully pursued its need.
At the same time, the two countries are bound together by their complementary economic goals. While China aims to evolve into a possessor of high-level technology and a supplier of advanced industrial services, India is determined to improve domestic infrastructureand to attract foreign investment. In fact, the trade between the two countries has skyrocketed since 2000 towards the common target of reaching 100 billion USD by 2015. Modi’s inauguration as India’s Prime Minister is also expected to contribute to the promising relationship. He actively sought investment from China even before he became the Prime Minister. Following his inauguration, Modi invited national leaders of countries in an unstable relationship with India, such as Pakistan and China, implying his focus on improving India’s relations with its neighbors.
Nonetheless, there still remain obstacles that might deter long-lasting partnership. Although India and China has been meaningful trade partners to each other, the bilateral trade is leaned heavily in favor of China. India’s Vice President Ansari stated that the trade gap of 36.5 billion USD is “not sustainable.”Despite the target on 100 billion USD of trade, the trade between two countries have been decreasing since 2011. The unresolved territorial dispute continues to be exacerbated. On one hand, China expresses certainty in its peaceful rise into a global power. On the other hand, China has consistently increased its military expense and escalated tensions surrounding territorial disputes, including the one with Arunachal Pradesh. The recently unveiled official map of China that marks virtually every disputed land into China’s territory, including Arunachal Pradesh, caused another wave of outrage in India.
As to problems with India, there exists clear steps that China would like to take. Ansari has publicly expressed hope for increased Chinese investment as a solution for the trade imbalance, although details are “complicated and technical,”therefore need to be decided at the expert level. While the territorial dispute may not be resolved in the next several decades, there is no more need to take provocative actions. The global society has long expected China’s leadership in economy and politics, and China has promised that its leadership would not be that of hegemony and nationalism. Still, China has not shown a noticeable proof of its words, and there is more doubt than trust. While China’s next few decisions would be rough indicators of its will and capability to carry out its word, enhancing the relationship with India might be a good one to start with.