China has expressed its willingness to boost imports of Indian goods and enhance economic cooperation, according to Beijing’s ambassador to New Delhi. The announcement comes as global trade tensions rise, with new U.S. tariffs set to take effect on Wednesday.

The move signals an effort by both Asian giants to mend ties following a border clash in 2020 that strained relations. Chinese President Xi Jinping and Indian President Droupadi Murmu exchanged congratulatory messages on Tuesday to mark 75 years of diplomatic relations, emphasizing the need for closer collaboration.

Chinese Ambassador Xu Feihong stated in an interview with The Global Times that China is keen to import more Indian products suited to its market while encouraging Indian enterprises to explore opportunities in China. He also urged India to create a transparent and fair business environment for Chinese firms, hinting at Beijing’s interest in expanding its economic footprint in the country.

Despite some efforts at rapprochement, India continues to impose restrictions on Chinese investments following the 2020 border conflict. However, both nations have begun discussions on a potential trade agreement, seeking to ease tariff disputes and foster economic stability.

This development comes as India moves to reduce tariffs, partly in response to pressure from U.S. President Donald Trump, who has criticized India’s trade policies. As Beijing and New Delhi navigate their complex relationship, the potential for increased trade cooperation could reshape economic dynamics in the region.