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Representative image · Photo: cloudfront-us-east-2.images.arcpublishing.com

Xi's India Visit May Ease Diplomatic Chill, But Business Ties Remain Wary

Diplomatic warming from Xi Jinping's India visit may not quickly translate into stronger business ties, with regulatory hurdles and visa delays persisting.

A planned visit by Chinese President Xi Jinping to India is expected to help ease diplomatic tensions between the two countries, but analysts caution that economic relations are likely to remain constrained by mutual suspicion.

Businesses on both sides continue to encounter significant obstacles. Investments have been stalled by regulatory measures, while companies face visa delays and restrictions on industrial equipment. These hurdles point to a persistent gap between improving diplomatic contacts and the practical realities of trade and investment.

According to analysts, the disconnect suggests that even as political engagement picks up, commercial ties will not automatically follow. The measures affecting investment, movement of people and access to equipment remain in place, keeping business confidence cautious.

The visit is seen as a step toward a diplomatic thaw, but the structural barriers in the economic relationship mean that any meaningful improvement in business ties is likely to be gradual and contingent on resolving these long-standing issues.