India-China may soon resume trade through Indo-Tibetan border
Direct flights between India and China will be commencing once again after a gap of nearly five years.
Next in line is the resumption of India-China trade through Indo Tibetan border Passes in Lipulekh, Shipki La, and Nathu La.
The resumption of this ancient two way direct trade between India and Tibet and through it an indirect one with China will surely help in easing tensions, increase diplomatic engagements, reflecting a cautious step by step positive move towards normalising ties after the Galwan Clashes.
India and China are now actively engaged in talks to resume the above trade after a hiatus, signalling a potential thaw in bilateral relations.
The Ministry of External Affairs (MEA) of India confirmed that discussions with China are ongoing to restore trade at three designated mountain passes on the Indo Tibetan border : Lipulekh in Uttarakhand, Shipki La in Himachal Pradesh, and Nathu La in Sikkim.
These trading points have historically been vital for the livelihoods of border communities of India and Tibet and involved trade in locally produced goods such as spices, carpets, wooden furniture, medicinal plants, and wool and goods imported from China by the Tibetans. The trade volume has traditionally been modest since ancient times but symbolically important.
MEA spokesperson Randhir Jaiswal stated during a recent media briefing that India remains engaged with the Chinese side( which presently controls Tibet ) to facilitate the resumption of trade through these key passes and promised to provide updates as talks progress.
China’s Foreign Ministry expressed willingness to enhance coordination and communication with India on this matter, recognising the historic importance of Indo Tibetan border trade in the frontier regions of India and Tibet.
This diplomatic initiative coincides with several other important developments aimed at normalising India-China relations. Notably, Chinese Foreign Minister Wang Yi is scheduled to visit India on August 18, 2025, to hold Special Representative Level talks with India’s National Security Advisor Ajit Doval.
This visit is the first by a Chinese Foreign Minister to India since the 2020 border clashes, and the talks are expected to focus on resolving the ongoing boundary disputes.
In addition, Prime Minister Narendra Modi is expected to visit China later this month (August 28, 2025) to participate in the Shanghai Cooperation Organisation (SCO) summit, where further bilateral discussions with Chinese leadership are anticipated.
The resumption of Indo Tibetan border trade, direct flights, and high-level diplomatic talks collectively point toward a deliberate effort by India and China to stabilise and improve their complex relationship after years of strain.
