China has agreed to resume the supply of rare earth minerals, fertilisers, and tunnel boring machines to India, signalling a significant confidence-building gesture ahead of Prime Minister Narendra Modi’s meeting with Chinese Foreign Minister Wang Yi in New Delhi this evening.
This high-level interaction marks Wang Yi’s first visit to India in three years and comes as both nations seek to stabilise ties that have remained tense since the Galwan Valley clashes in 2020.

The meeting, scheduled for 5:30 PM at the Prime Minister’s residence (7, Lok Kalyan Marg), is being held at a time when the broader geopolitical environment for both countries is shifting, including growing strains in India–US relations over tariffs and sanctions related to Russian oil.

Rare Earths Back on the Table

Indian officials confirmed that China has agreed to address three key concerns raised by New Delhi—namely, the curbs on exports of rare earths, disruptions in the supply of fertilisers, and restrictions on critical tunnel digging machinery used for infrastructure projects.
China accounts for 60–70% of global production of rare earth minerals, which are essential for manufacturing electronics, green energy components, electric vehicles, and advanced defence systems.

Although India holds rare earth deposits, it relies heavily on Chinese imports for high-purity processed materials. Beijing’s pledge to ensure uninterrupted supply is seen as an important development that could support India’s growing electronics and renewable energy sectors.

Strategic Timing Ahead of SCO Summit

The discussions also carry regional geopolitical significance, as they come just days ahead of PM Modi’s planned visit to China for the Shanghai Cooperation Organisation (SCO) summit, where he is likely to meet President Xi Jinping. If confirmed, it will be Modi’s first visit to China in seven years and could mark a turning point in bilateral ties.

During his meeting with External Affairs Minister S. Jaishankar on Monday, Wang Yi highlighted the importance of “viewing each other as partners rather than threats” and argued that Beijing and New Delhi should jointly push back against the rise of “unilateral bullying” in international politics.
Jaishankar acknowledged that the relationship has gone through a “difficult period”, but emphasised that differences must not become disputes, nor competition lead to conflict.

Signs of a Gradual Thaw

While the border stand-off remains unresolved, both sides have made incremental gestures to improve the atmosphere for talks:

• China eased export restrictions on urea and fertilisers to India earlier this year

• India reinstated tourist visas for Chinese nationals after pandemic-related suspensions

• Several Indian companies have resumed technology cooperation discussions with Chinese firms in non-sensitive sectors

The rare earth commitment is the latest, and perhaps most concrete, indication that Beijing is willing to make broader economic concessions to restore trust.

Conclusion

Today’s meeting between Prime Minister Modi and Foreign Minister Wang Yi will be closely watched for additional breakthroughs or agreements. China’s assurance on critical raw materials will be welcomed by India’s strategic industries, but a full normalisation of ties will likely depend on progress in resolving border tensions and restoring military disengagement in Ladakh.

As preparations intensify for the SCO summit, any substantive outcome from this visit could set the tone for Modi’s first in-person interaction with President Xi Jinping since 2019, potentially opening a new chapter in India–China relations.

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