New Delhi: In a significant diplomatic development, China has agreed to resume the supply of essential commodities to India, including fertilizers, rare earth minerals, and tunnel boring machines (TBMs). The decision was conveyed during talks between Chinese Foreign Minister Wang Yi and India’s External Affairs Minister S. Jaishankar on Monday.
The renewed supply comes after nearly a year-long pause in exports from Beijing, which had disrupted key sectors in India including agriculture and infrastructure development.
Key Supplies to Resume
According to sources, Minister Jaishankar had previously raised India’s concerns over the shortage of urea, NPK, and DAP fertilizers, as well as rare earth materials used in electronics and auto manufacturing, and TBMs critical for urban infrastructure and highway projects.
China currently supplies nearly 30% of India’s fertilizer needs, and is a major exporter of rare earths and mechanical equipment like tunnel machines.
No Change in India’s Taiwan Policy
During the discussion, Jaishankar reiterated that there is no shift in India’s position on Taiwan, stating that India, like many countries, maintains limited economic and cultural engagement without formal diplomatic recognition. This clarification was aimed at diffusing speculation over India’s geopolitical stance in the Indo-Pacific region.
Talks Remain Cordial Despite US Tensions
While the primary focus was economic cooperation, sources noted that U.S. foreign policy loomed large over the discussions. Both sides acknowledged that emerging geopolitical shifts—particularly actions led by Washington—could affect both nations. There was a shared sentiment that closer India-China engagement could help navigate uncertainties driven by evolving U.S. strategies.
What About Border Issues?
Interestingly, border-related matters and the LAC standoff were not discussed during this meeting. These will instead be taken up in a separate Special Representative-level dialogue, led by National Security Advisor Ajit Doval. The dialogue is expected to focus on troop disengagement and reducing tensions along the 3,488-km Line of Actual Control (LAC).
Though some friction points in Ladakh have reportedly seen progress, both armies remain deployed in significant numbers. India is expected to push for gradual de-escalation and a return to barracks.
Wang Yi to Meet PM Modi
As part of his visit, Wang Yi is also scheduled to meet with Prime Minister Narendra Modi later today, which could pave the way for further easing of bilateral tensions and resumption of trade dialogues at a broader level.

