India’s refusal to sign up for the Regional Comprehensive Economic Partnership (RCEP) agreement in Bangkok earlier this month says as much about the state of India’s relations with China as it does about its place in the global trading regime.
There is no doubt that India is in many way not ready for the additional challenges and pain its domestic industry and agriculture will face with accession to RCEP especially since the economy is still recovering from the self-inflicted damage of demonetisation in 2016 and a poorly-executed roll-out of the GST less than a year later.
But there is not an insubstantial argument to be made about the consequences of opening up under RCEP to a Chinese economy that still is far from being an open market economy. Continue reading China Worries in India’s RCEP Decision
Asia witnessed two major summits in the last week of April – between Kim Jong-un of North Korea and Moon Jae-in of South Korea in Panmunjom in the demilitarised zone between the two countries, and between Indian Prime Minister Narendra Modi and Chinese President Xi Jinping in Wuhan, China.
Arguably, it was the meeting between the leaders of the two smaller countries that carried the greatest immediate significance, if nothing else because they sought a formal end to a state of war that has existed since 1950 and ‘complete denuclearisation’ of the Korean peninsula while the India-China summit promised not even a joint statement of what was on the agenda between their two leaders.
And yet, as many have argued for decades, there is no ‘Asian century’ without India and China working together and living in peace. Continue reading Is It Asia’s Moment, Yet?
China has many ways of affecting Indian politics. Indeed, an India-China ‘reset’, as envisaged by the Narendra Modi government and represented by the “informal summit” between Modi and Chinese President Xi Jinping in the central Chinese city of Wuhan, has the very strong domestic context of several major state-level elections later this year and the general elections next year.
There are two big expectations that the Modi government appears to entertain here — both of which rest on shaky foundations. Continue reading Modi-Xi ‘Informal Summit’: Misplaced Hopes