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India eases some investment norms for China, ending six years of friction


Wed 11 Mar 2026 | 05:23 PM
Basant Ahmed

India approved easing restrictions on Chinese investments in select sectors on Tuesday, in a major step by Prime Minister Narendra Modi to ​rebuild ties with Beijing and end six years of friction, Reuters reported.

Below is ‌a timeline of events since a deadly border clash between the two nuclear-armed Asian nations jolted commercial and diplomatic ties in 2020.

April, 2020 - India introduces heightened scrutiny for all ​investments from nations it shares a land border with, including China. ​New Delhi says the move is to curb opportunistic takeovers of ⁠Indian companies during the COVID-19 pandemic.

June, 2020 - India bans 59 mostly Chinese apps, opens new tab, ​including TikTok, WeChat, and UC Browser, citing national security concerns.

July, 2022 - China's Great ​Wall Motor shelves plans, opens new tab to invest $1 billion in India after failing to obtain regulatory approvals, becoming one of the biggest casualties of New Delhi's increased scrutiny of investments from Beijing.

July, ​2023 - India rejects a $1 billion investment proposal by Chinese automaker BYD (002594.SZ), opens new tab amid ​continued security concerns.

October, 2024 - India and China reach a deal, opens new tab on patrolling their disputed frontier to ‌end ⁠a four-year military stand-off.

July, 2025 - India's top government think tank, NITI Aayog, proposes allowing Chinese companies to take up to a 24% stake in Indian firms without security clearance, aiming to reduce delays caused by the post‑2020 scrutiny regime.

August, ​2025 - Indian Prime Minister Narendra ​Modi visits China ⁠for the first time in over seven years, in a further sign of a diplomatic thaw with Beijing as ​tensions with the United States rise.

October, 2025 - India and ​China to resume ⁠direct flights after a five-year freeze.

December, 2025 - India frees up business visas for Chinese professionals to end technician scarcity at factory floors that cost output worth billions of ⁠dollars ​over the years.

February, 2026 - India begins easing its restrictions ​on buying Chinese equipment, allowing state-run power and coal companies to start limited imports as shortages ​and project delays mount.