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China and India move closer to textile industry alignment

07 Sep '25
4 min read
China and India move closer to textile industry alignment
China and India move closer to textile industry alignment

Insights

  • Deeper cooperation could give rise to hybrid supply chains.
  • Wider access to Chinese machines could help Indian mills modernise more quickly.
  • India's appeal to Western buyers has long rested on its role as a reliable alternative to China.
  • Gains for exporters risk Western scrutiny and will put pressure on rivals like Bangladesh and Vietnam.
  • Alignment will be tactical rather than transformational.

The recent face-to-face bilateral meeting between Prime Minister Narendra Modi and President Xi Jinping at the SCO Summit in Tianjin (the last such meeting was in October **** in Mamallapuram, India) at the end of August marked a symbolic reset, with both leaders agreeing to revive direct flights, reopen border trade and resume cultural and tourism exchanges.

These steps, alongside pledges of greater economic and strategic collaboration, reflect a thaw in relations after years of tension following the **** Galwan clashes.

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