An analytical study on sino-Indian trade relations

Bilateral trade between India and china, the world's two most populous countries, have expended substantially in recent years. They are the fastest growing economies in Asia as well as in the world scenario. Both economies are classified by international agencies as emerging markets with potential for rapid economy growth. They play an increasingly dominant role in world economy affair. This paper attempts to examine trend of trade relation between two countries and effect of geographical issue on same. At present, the nature of their relationship is something mixed i.e., growing cooperation in the field of trade and commerce along with distrust and mutual suspicions in the strategic fields whether political or geographical. For these apparent factors, the future relationship between India and China can be characterized by the cooperation in those fields whether mutual, regional or international which may be beneficial for the peaceful rise of both these states and confrontation, competition, and even hostility in some other areas where the respective interests of both the giants clash with each other, for example, the border issue, relationship with other countries particularly US and Pakistan, their encirclement policies, competition for energy resources, nuclear arms race, etc.