INDIA CHINA Connect

Prime Minister Narendra Modi greeted overseas Indians on Pravasi Bharatiya Diwas, calling the diaspora “Rashtradoots” and a strong bridge between India and the world. He praised their global contributions, cultural promotion, and continued connection to India. The day marks Mahatma Gandhi’s 1915 return and recognises the role of over 30 million Indians abroad.

India has introduced the e‑B‑4 digital business visa for Chinese nationals, effective January 1, to ease travel for manufacturing and industrial professionals. Processed online in 45–50 days, it allows six‑month stays for technical, production and training work. The move reflects warming bilateral ties and aims to reduce skill gaps and production losses after years of strained relations between the countries.

Apple’s iPhone exports from India crossed $50 billion by December 2025, driven by the government’s PLI scheme. With strong FY26 shipments, India has become a major global manufacturing hub for Apple. Smartphones are now India’s top export, and continued policy support aims to sustain growth in devices and components manufacturing.

China’s BYD has overtaken Tesla as the world’s top electric vehicle seller after a surge in 2025 sales, while Tesla’s deliveries fell for a second year. Tesla faced subsidy cuts, rising competition and investor concerns, though it remains more profitable. BYD’s growth, driven by low prices and overseas expansion, has been especially strong in the UK.

India’s carmakers ended 2025 with record exports of about 858,000 vehicles, up 15% year-on-year, driven by strong demand from Africa, South America and West Asia. Strong manufacturing capabilities and cost competitiveness boosted growth, though future momentum hinges on trade policies. Automakers aim to double export share as India expands its global automotive footprint.

Sanju Verma portrays 2025 as a transformative year for India, blending cultural resurgence with robust economic performance under PM Modi. She credits “Modinomics” for bold structural reforms, rapid GDP growth, tax and compliance simplification, MSME empowerment, poverty reduction, and global trade gains, positioning India as a resilient, fast-growing economy on track for “Viksit Bharat” by 2047.

India’s exports are expected to rise to $840–850 billion in FY26 and $950 billion in FY27, driven by FTAs, services and electronics. While textiles and manufacturing show promise, exporters face risks from US tariffs, EU climate rules and AI-led disruption. West Asia is seen as the main near-term growth driver.

India is rapidly expanding its aviation sector, adding a new airport every 50 days. Key projects include Jewar airport opening in February and Bhogapuram by June, following successful regulatory milestones. Fleet size is growing, policies now allow multiple airports per region, and international connectivity is improving under the Open Sky policy.

India’s first Bullet Train will begin operations on August 15, 2027, marking a major leap in high-speed rail. The 508-km Mumbai–Ahmedabad corridor will open in phases, connecting key cities. Backed by progress on infrastructure and confidence from Vande Bharat trains, the project promises faster, world-class inter-city travel.

Big Tech firms are accelerating hiring and investment in India as tighter H-1B visa rules reshape global talent strategies. In 2025, FAAMNG companies added over 32,000 jobs, driven by demand for AI, data, cloud, and cybersecurity skills. With multibillion-dollar investments and selective hiring, India is emerging as a long-term global tech hub.

China has unveiled a record-setting smart DC transformer designed to stabilise power grids as renewable energy expands. Rated at 750 million volt-amperes, it supports ultra-high-voltage, long-distance transmission, delivering over 36 billion kWh annually across 2,370km. By efficiently converting AC to DC, it reduces losses, absorbs fluctuations, and strengthens grid safety, flexibility, and reliability after recent grid instability exposed vulnerabilities nationwide.

Ray Dalio says India has the strongest foundations among major economies for long-term growth despite global uncertainty. Speaking with Nikhil Kamath, he urged young investors to focus on learning market mechanics, diversification, and self-investment. Dalio favors gold over Bitcoin, warns against speculation, and stresses patience, discipline, and understanding cause-and-effect over chasing quick returns.

China’s trade surplus topped US$1 trillion in 2025, yet foreign exchange reserves rose only slightly. Analysts say the gap reflects private-sector capital outflows, not missing funds. Chinese firms are investing abroad, paying down foreign debt and holding earnings offshore, signalling a shift from state-led reserve accumulation to market-driven global expansion

From January 1, 2026, all Australian tariffs on Indian exports will be eliminated under the India–Australia ECTA, boosting trade ties. The pact has driven export growth, aided labour‑intensive sectors, and strengthened supply chains. Key industries like gems and jewellery have surged, with India’s exports to Australia rising 8% in FY25.

Vinod Khosla has backed Elon Musk’s call for a universal U.S. digital ID and stricter voter ID laws, citing India’s Aadhaar as a successful model that boosts convenience and reduces fraud.

Shenzhen jewellery malls have introduced smart restroom doors that turn transparent when smoke is detected, discouraging smoking in non-smoking areas. Installed in men’s toilets, the system aims to enforce strict indoor smoking bans. While praised online for effectiveness and innovation, legal experts caution about privacy risks if the technology malfunctions.

India has approved $4.6 billion in electronics investments, clearing 22 projects expected to generate $28.6 billion in output. Backed by firms including Samsung and Tata, the plan targets key components to cut import dependence and strengthen supply chains. The push aligns with Apple’s expanding India production and upcoming semiconductor fabs from Micron and Tata this year to boost manufacturing resilience nationwide.

Yiwu overcame US-China trade tensions by rapidly diversifying exports toward emerging markets. Despite tariffs and reduced US demand, total trade surpassed 700 billion yuan in the first 10 months of 2025, up 25.2%. ASEAN trade jumped 51%, while Africa and Latin America rose strongly. Exports grew 24.4%, alongside booming cross-border e-commerce imports, supported by flexible supply chains and logistics networks.

India holds the world’s third-largest rare earth reserves at 6.9 million tonnes but produces under one percent globally. Output was about 2,900 tonnes in 2024, far behind China. Regulatory hurdles, monazite-linked thorium, and weak refining capacity limit growth. China dominates processing. Without value-chain integration, India’s vast resources won’t translate into global influence. The imbalance highlights execution gaps across mining nationwide.