China builds on 'old ties' with Modi

Premier Li Keqiang calls Prime Minister, to send foreign minister as special envoy in June

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When most Western countries had declared then Gujarat Chief Minister Narendra Modi a pariah, owing to his government's failure in controlling the 2002 communal riots in Gujarat, it wasn't only Japan, but China, too, that had aggressively courted Modi.

South Block feels Chinese Premier Li Keqiang's phone call to Prime Minister Modi on Thursday and Beijing's decision to dispatch its foreign minister to meet the new Indian leadership are efforts by China to "build on the head start" it has in dealing with Modi.

While he was Gujarat chief minister, Beijing hosted Modi thrice, nearly as many times as Tokyo did. Modi previous visited China in November 2011. On each occasion, he returned with commitments of greater Chinese investment in Gujarat.

Bureaucrats who accompanied Modi on his last visit to China said he was accorded a reception typically reserved only for heads of state or government. This included being hosted at the Great Hall of the People.

During his visits, Modi met important second-rung leaders of the Communist Party of China. Some of them, who headed provincial and city governments then, now hold important positions in the central leadership, following the generation shift in 2012-13. "In Shanghai, Modi was hosted by the head of the provincial government; currently, he is a member of the politburo," said an official who had accompanied Modi on the visit.

Official sources said Chinese Premier Li Keqiang's call to Modi on Thursday should be viewed in the perspective of this generational shift, both in China, as well as in India.

On his website, narendramodi.in, Modi has claimed some credit for resolving the issue related to the arrest of diamond merchants from Surat by Chinese authorities.

A source said the Chinese leadership felt Modi was a "strong leader", with a "Chinese way". "The Chinese admire strong leadership and are of the view Modi will be more capable of delivering on promises than his predecessor," a source said.

Also, it is understood, both in New Delhi and Beijing, that currently, the leaderships of the two countries are business-oriented. During his election campaign, Modi had expressed admiration for the Chinese model and said India should replicate the manner in which the Chinese have made their country a manufacturing hub. "The Chinese believe Modi has already replicated their model, in what is known as the Gujarat model in India," said a source.

Beijing views Modi's admiration of the 'Chinese model' as a business opportunity.

There is also a strategic angle to the developing entente. Sources said Beijing perceived the Manmohan Singh government to be tilting towards a US-Japan-India axis. "Probably, China thinks Modi can be weaned away from the US, given the Americans refusal to grant him a visa; the initial months are the time to reach out to him," a source said.

However, people in the know of India-China developments, including those advising Modi on foreign relations, say this "understanding" is unlikely to dramatically change stands on issues such as border disputes. "What it would do is bring greater synergy in business ties," a source said. Modi, as he displayed during his election speech in Arunachal Pradesh, is likely to take a stronger public stand on the border dispute, compared to the United Progressive Alliance government.

The 25-minute phone call by Li on Thursday followed China's decision to send its foreign minister, Wang Yi, as special envoy to India on June 8 to meet the new leadership. Modi, on his part, said China was always a "priority" in India's foreign policy and welcomed greater economic engagement between the two countries.

Modi underlined his government's resolve to utilise the full potential of "our strategic and cooperative partnership with China and his keenness to work closely with the Chinese leadership to deal with any issues in bilateral relations by proceeding from the strategic perspective of our developmental goals and long-term benefits to our people".

The two leaders agreed to maintain frequent high-level exchanges and communication. Modi also thanked Li for his congratulatory message and extended an invitation, through Li, to President Xi to visit India later this year.

Earlier, China had formally greeted him and sent a special message through Indian Ambassador to Beijing, Ashok K Kantha, during his meetings with Wang and state councillor and special representative for border disputes, Yang Jiechi.
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