The Modi-Xi balance sheet: Only baby steps in a difficult relationship

Subject	Xi’s visit to India (Sep 2014)	Modi’s visit to China (May 2015)	Effect
Atmospherics	Modi received Xi in Ahmedabad, personal touch, high symbolism	Xi travelled to Xi’an, reciprocated Modi’s gesture	Positive
Boundary dispute	Agreed that boundary question should be resolved quickly as a strategic objective	The same formulation was used. Modi pressed more strongly in media statement	Status quo
Frankness	Modi raised border issue in media statement, following a major border intrusion in Ladakh during Xi’s visit	Modi raised border question far more strongly in public statements. Says it creates “shadow of uncertainty” in speech to Tsinghua University	Positive
High-level engagement	It was agreed that both leaders would meet at regular intervals	State/Provincial Leaders’ Forum also established. First meeting attended by Modi and Li Keqiang	Positive
Trade imbalance	No concrete steps to reduce India’s negative trade balance	No concrete steps to reduce India’s negative trade balance	Negative
Investment	It was agreed that China would invest US$ 20 million in India in the next five years	China announced the establishment of two industrial parks in Maharashtra and Gujarat	Positive
Consulates	---	Agreed to open new Chinese consulate in Chennai, new Indian consulate in Chengdu	Positive
Railway cooperation	Speed raising on Chennai-Bengaluru-Mysore line, high speed link between Delhi-Nagpur, setting up of rail university	Repeated the same intentions, noted the MoU on cooperation in railways	Status quo
Kailash Mansarover	India appreciated China assistance in Yatra, China promised new route through Nathu La	New route through Sikkim to become operational this year	Positive
Multilateral organisations (UN)	China has not promised to support India for a permanent UNSC seat, only “supports India’s aspiration to play a greater role in the UN”.	Same formulation, no change	Status quo
Multilateral organisations (Shanghai Cooperation Organisation)	China welcomed India's candidature for full membership of Shanghai Cooperation Organization (SCO)	No change	Status quo
Regional outreach and cooperation	China’s “Maritime Silk Route” and “One Belt, One Road” outreach not mentioned, India cold to initiatives	No mention in joint statement, India remains cold	Negative
Atomic Energy	“Nuclear energy” was mentioned as an area of mutual cooperation	Agreement on “working level consultations” between Indian and Chinese atomic energy departments. Agreed on need to expand civil nuclear energy programmes.	Positive
Global arms control and non-proliferation	No mention of India’s aspirations, nor mention of cooperation on NSG, MTCR, Australia Group   and Wassenaar Arrangement	Noted common approach and agreed to engage bilaterally and multi-laterally. China noted India’s aspiration to join NSG to strengthen international non-prolifer	Positive