While subtly changing the ground situation in their favour and to the detriment of India, they have fully benefitted economically from the agreement not to let the border dispute affect the relations in the political and economic fields. China has become India’s biggest trading partner with a huge surplus trade balance in its favour. The Chinese manufacturing industry has benefited immensely from its ability to export its goods to the Indian market. India has emerged as the largest market for Chinese construction companies which have won more construction contracts in India than in any other country of the world. The relaxed Indian attitude to security considerations have enabled Chinese telecom companies, some of them owned by retired PLA officers, which have been facing difficulties in the West, particularly the US, having a free run of the Indian market. Indian IT companies have not benefitted to the extent expected from their presence in China.
Thus, China has been the beneficiary of the policy followed till now. The time has come to revisit this policy and make it clear to China that unless and until the border dispute is settled to mutual satisfaction, the relations in other fields cannot improve.
The Prime Minister should immediately convene a meeting of the National Security Council to discuss a new strategy with the following components and initiate action for their implementation:
Firstly, all exchanges of visits between the leaders of the two countries, and planned joint military exercises should be postponed till China vacates its occupation of Indian territory.
Secondly, India should go ahead with the strengthening of its infrastructure in its territory in all the sectors.
Thirdly, no new construction contracts should be awarded to Chinese companies till the border issue is settled.
Fourthly, no replacement visas should be issued in respect of on-going construction contracts.
Our Army should strengthen its presence in the Tawang sector of Arunachal Pradesh to pre-empt the Chinese surprising us there as they have done in Eastern Ladakh.