The bilateral engagement between Prime Minister Narendra Modi and Chinese President Xi Jinping on the sidelines of the 18th BRICS Summit in New Delhi last week has opened a window for stronger economic ties and greater regional stability — but must be assessed through a pragmatic, not optimistic, lens, according to a report published by Saviours.

What Modi and Xi Said

In his bilateral talks with President Xi, Prime Minister Modi stressed that both sides must remain sensitive to each other's core concerns and allow the relationship to be guided by what he termed the 'three mutuals' — mutual respect, mutual sensitivity, and mutual interest. Both leaders reportedly echoed the same spirit during the meeting, signalling a shared, if cautious, intent to stabilise ties after years of friction.

The Pragmatic Case for Engagement

Ashok Kumar Abrol, a former Indian Police Service (IPS) officer writing for Saviours, argued that while the current engagement can create space for improved relations, it cannot overnight transform the two countries into allies or erase the historical legacy of 1962 and the deep strategic differences that persist. He noted, however, that if dialogue translates into greater stability, predictable trade, improved market access, and more reliable supply chains, both nations stand to benefit economically.

'For India, this matters even more. The world is looking for alternatives and additional manufacturing centres. India possesses a huge domestic market, a young workforce, expanding infrastructure, digital capabilities and a growing entrepreneurial ecosystem. But becoming the world's second manufacturing hub will not happen simply because some factories move out of China,' Abrol wrote.

India's Structural Prerequisites

Abrol emphasised that favourable global conditions alone will not propel India into a leading manufacturing role. 'India must create the conditions that make the country competitive in its own right. That requires reliable infrastructure, competitive energy, skilled manpower, efficient logistics, stable regulations, technological capability and — above all — a much greater commitment to research and development,' he added.

The report argued that the most pragmatic posture toward China is neither outright confrontation nor capitulation, but a calibrated balance: strength without belligerence, self-reliance without isolation, competition without hostility, and cooperation without dependence.

The Civilisational Dimension

'India does not need to become another China. Nor does India need to defeat China to succeed. It needs to become sufficiently innovative, productive and technologically self-confident to engage China — and the world — from a position of strength,' Abrol noted, adding that a prosperous and stable India need not be an adversary to Beijing.

He stressed that the future of Asia would be shaped not only by which country grows stronger, but by whether its two largest civilisations can manage their differences with maturity: 'Differences are inevitable. Disputes are manageable. Conflict is avoidable. And cooperation need not mean surrender.'

BRICS Theme and the Road Ahead

The report noted that the 18th BRICS Summit theme — 'Resilience, Innovation, Cooperation and Sustainability' — aligns closely with its central premise that differences should not be allowed to harden into disputes. India's real strategic achievement, the report argued, would be developing the economic and technological strength needed to engage across the Himalayas from a position of confidence rather than fear. All eyes will now be on whether the diplomatic momentum generated at the New Delhi summit translates into concrete policy and trade outcomes in the months ahead.