BRICS Summit 2026: PM Modi, Xi Discuss Trade Imbalance And Supply Chain Challenges

Prime Minister Narendra Modi and Chinese President Xi Jinping held bilateral talks at Bharat Mandapam in New Delhi on Saturday during the 18th BRICS Summit.

PM Modi thanked President Xi for China’s support and cooperation during India’s BRICS chairship and welcomed the Chinese President to India.

“I feel very happy to welcome you. Thank you for your positive statement at the BRICS Summit. I express my gratitude for the support and cooperation received from China during India’s BRICS chairship. We now have the opportunity to discuss bilateral cooperation. Once again, a warm welcome to you in India,” PM Modi said.

External Affairs Minister S Jaishankar, National Security Advisor Ajit Doval and other officials attended the meeting.

The leaders reviewed economic and trade relations and stressed the need to address structural trade imbalances, supply chain challenges and the availability of predictable market access.

India’s trade deficit with China reached $112.16 billion in 2025-26, compared with $99.21 billion in 2024-25.

India’s exports to China rose 36.62 per cent to $19.47 billion, while imports increased 16.03 per cent to $131.63 billion.

Bilateral merchandise trade reached $151.10 billion, making China India’s largest trading partner.

Electronics, machinery, computers and organic chemicals account for roughly 66 per cent of India’s imports from China.

China supplies about 43 per cent of India’s electronics imports and 40 per cent of machinery and computer imports.

India sources more than 40 per cent of six critical minerals from China, creating vulnerabilities for renewable energy, electric vehicle and defence supply chains.

The leaders reaffirmed that differences should not become disputes and agreed to approach bilateral ties from a strategic and long-term perspective.

The two leaders welcomed the steady progress in India-China bilateral relations since their last meeting in Tianjin in August 2025. They reaffirmed that both countries should take a strategic and long-term perspective on their ties. Differences should not become disputes.

PM Modi stressed that peace and tranquillity along the border remain essential for further development of bilateral relations. Both sides backed continued cultural exchanges, business links and greater mobility.

President Xi said China and India could support and help each other to achieve common development.

The meeting marked President Xi’s first India visit in nearly seven years and the third consecutive year in which the two leaders have met.

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