Could India’s twin trade agreements set back its improving ties with China?

South China Morning PostCenter-RightEN 1 min read 100% complete by Fan Chen,Shi Jiangtao,Cao JiaxuanFebruary 6, 2026 at 09:00 AM

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India's recent trade agreements with the US and the EU signal a strengthening of economic ties with the West amidst US-China rivalry. Experts suggest these deals could provide India with leverage in its relationship with China, potentially slowing the recent improvement in relations between New Delhi and Beijing. The US agreement reportedly includes tariff reductions on Indian goods in exchange for India lowering trade barriers and potentially reducing Russian oil imports. While India welcomes the tariff relief, it has not confirmed the oil commitment. Simultaneously, India aims to expand its influence within the BRICS bloc during its chairmanship, which China sees as a counterweight to US pressure.

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Key Player Opposition Context

Brazil 30% Venezuela 30% South Africa 30% Beijing ×240% New Delhi 50% Russia ×250% Donald Trump ×250% European Union 60% BRICS ×460% United States ×670% China ×380% India ×790%

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trade agreements 90% india-china relations 80% us-china rivalry 70% tariffs 60% brics 60% russian energy imports 50% trade barriers 50% global south 40%