China’s Belt and Road Initiative in South Asia and the Indian Response

Abstract

China’s Belt and Road Initiative (BRI) is an ambitious project aiming to transform the economic landscape along its route in the areas of trade, investment, and energy supplies. It makes as its focal point the connectivity between China and Eurasia, South Asia, and the Indian Ocean. South Asia’s location presents China with significant strategic opportunities as Beijing seeks to expand its economic presence in the subcontinent by providing resources in infrastructural development, particularly the construction of seaports. With growing Chinese trade and investment in the region, Beijing is also extending its diplomatic influence into what has long been considered as India’s sphere of influence. With longstanding strategic distrust and unresolved territorial disputes, New Delhi is suspicious of Beijing’s intentions and concerned over the latter’s growing influence into a region it has long considered its sphere of influence. In this context, the BRI has the potential to intensify Sino–Indian rivalry, and the Modi government has indeed explored and launched initiatives to counter Chinese diplomatic activities. It remains a challenge whether and how Asia’s rising powers can reduce their trust deficits and explore areas of cooperation made possible by the BRI, working toward a cooperative, mutually beneficial future for Sino–Indian relations and the region as a whole.