Modi and Xi agree on a border formula and split on the order of work
India's readout makes peace on the LAC the basis for the relationship. China's statement puts the boundary question and trade on parallel tracks. Bilateral trade hit $151.10 billion in FY26 with a $112.16 billion Indian deficit.

New Delhi3 min read
Last updated
Prime Minister Narendra Modi and Chinese President Xi Jinping met in New Delhi on 12 September and left two readouts that do not say the same thing about the border. India's Ministry of External Affairs made peace on the Line of Actual Control the condition for the rest of the relationship. China's foreign ministry put the boundary question and the wider relationship on parallel tracks.
The meeting was Xi's first in India in seven years and the first bilateral on Indian soil since the Galwan clash in 2020. It sat on the sidelines of the 18th BRICS Summit at Bharat Mandapam. The two men last met in Tianjin in August 2025. Both sides called the progress since then steady.
Modi's line, as carried by the MEA, was that differences should not become disputes and that the relationship should follow three mutuals: mutual respect, mutual sensitivity and mutual interest. He said peace and tranquillity in the border areas remains an essential basis for the continued development of bilateral relations and that both sides must observe existing agreements. The two leaders committed to a fair, reasonable and mutually acceptable settlement of the boundary question, approached from the political perspective of the overall relationship.
Beijing's order of work
The Chinese foreign ministry statement, posted after the talks, said the two sides should stay committed to advancing bilateral relations and resolving the boundary question, seek parallel, mutually reinforcing progress, and maintain peace and tranquillity in the border areas. That sentence is the split. New Delhi treats a quiet border as the floor. Beijing treats the border file and the trade file as two files that can move at the same time.
The Chinese readout also recorded that India said its policy on Taiwan and Tibet remains unchanged and that New Delhi would not allow anti-China activity on its territory. The MEA text did not repeat those sentences in the same form. Xi told Modi that China approaches India from a strategic and long-term perspective. Modi thanked Beijing for help hosting the summit. China takes the BRICS chair in 2027. India said it would support that chairship.
The trade number under the table
The MEA said the leaders discussed people-to-people ties, business links, the trade imbalance, supply chains and market access. Bilateral trade reached $151.10 billion in FY26. Chinese exports to India were $131.63 billion. India's deficit was $112.16 billion. That gap is the practical test of any reset. A political handshake does not clear a container at a Chinese port or rewrite an Indian standard.
Since 2020 India has held that the state of the border cannot be separated from the state of the relationship. China has argued that business and diplomacy can move while surveyors keep talking. Saturday's texts show that argument is still live. The useful test in the next quarter is whether patrol protocols hold in Ladakh and whether any new market-access item actually appears in a customs circular. The language of Saturday will not decide that. The next incident, or the absence of one, will.
Modi posted after the meeting that the two sides had reviewed the full range of relations and that he had conveyed good wishes for China's coming BRICS presidency. The public photographs from Bharat Mandapam will travel farther than the MEA paragraph on existing agreements. The agreements themselves, including the 1993, 1996 and 2005 texts on the border, remain the only written floor both capitals still cite. Whether those texts are observed in the coming winter patrol season is the measure that matters more than the handshake.
Continue reading
- News
Oman hosts Iran and Gulf ministers on Hormuz with no signed deal expected
Almanaque Digital DeskMuscat
- News
Lula's party takes to Brazilian streets with the polls still tied
Almanaque Digital DeskSão Paulo
- Politics
Hong Kong jails Tiananmen vigil organisers for up to seven years and three months
Almanaque Digital Desk