{"id":27353,"date":"2026-09-22T12:14:01","date_gmt":"2026-09-22T12:14:01","guid":{"rendered":"https:\/\/koshalsambada.in\/?p=27353"},"modified":"2026-09-22T12:14:01","modified_gmt":"2026-09-22T12:14:01","slug":"from-chips-to-china1-five-reasons-india-should-watch-trump-xi-handshake","status":"publish","type":"post","link":"https:\/\/koshalsambada.in\/?p=27353","title":{"rendered":"From chips to China+1: Five reasons India should watch Trump-Xi handshake"},"content":{"rendered":"<p><br \/>\n<\/p>\n<div>\n<div class=\"e9jwa\">\n<div class=\"vdo_embedd\">\n<div class=\"GfdvZ\">\n<section class=\"_bIDB  clearfix id-r-component leadmedia undefined undefined  E9tg9 \" style=\"top:0px\">\n<div class=\"_bIDB\" data-ua-type=\"1\" onclick=\"stpPgtnAndPrvntDefault(event)\">\n<div class=\"ypVvZ\">\n<div class=\"WGttI\"><img src=\"https:\/\/static.toiimg.com\/thumb\/msid-134411920,imgsize-67378,width-400,height-225,resizemode-4\/trump-xi.jpg\" alt=\"From chips to China+1: Five reasons India should watch Trump-Xi handshake\" title=\"Trump-Xi summit puts tariffs, AI, rare earths and Taiwan in focus\" decoding=\"async\" fetchpriority=\"high\"\/><\/div>\n<\/div>\n<\/div>\n<div class=\"Ta7d_ img_cptn\"><span title=\"Trump-Xi summit puts tariffs, AI, rare earths and Taiwan in focus\">Trump-Xi summit puts tariffs, AI, rare earths and Taiwan in focus<\/span><\/div>\n<\/section>\n<\/div><\/div>\n<\/div>\n<p>Chinese President Xi Jinping arrives in Washington on September 23 for a three-day state visit. When US President Donald Trump welcomes Xi to the White House, the two leaders will have plenty to talk about: tariffs, artificial intelligence, rare earths, Taiwan and Iran.<span class=\"id-r-component br\" data-pos=\"2\"\/>India will not be on the agenda. But it will have plenty at stake.<span class=\"id-r-component br\" data-pos=\"4\"\/><\/p>\n<p><h3>Driving the news: From trade war to uneasy truce<\/h3>\n<\/p>\n<p>US-China tensions have produced tariffs, technology restrictions and an accelerating effort by Western governments and companies to reduce their dependence on Chinese supply chains.<span class=\"id-r-component br\" data-pos=\"7\"\/>China has a stranglehold of rare earths and critical minerals. Xi demonstrated that he has a \u201cTrump\u201d card in US-China relations. When Beijing restricted exports amid its confrontation with Washington, the Trump admin had to make a retreat.<span class=\"id-r-component br\" data-pos=\"11\"\/>That leverage appears to have changed Washington&#8217;s calculations. This is why the Trump administration has taken a less combative approach ahead of this summit, with analysts pointing to America&#8217;s vulnerability to Chinese restrictions on critical minerals.<span class=\"id-r-component br\" data-pos=\"13\"\/>For now, both are trying to manage competition. And that distinction matters enormously to India.<span class=\"id-r-component br\" data-pos=\"15\"\/><\/p>\n<p><h3>Why it matters: India has been one of the beneficiaries of the great decoupling<\/h3>\n<\/p>\n<p>The US-China rivalry has created many opportunities for India. Global companies began looking for a \u201cChina+1\u201d. Supply-chain resilience became a national-security priority. The Quad acquired greater strategic relevance.<span class=\"id-r-component br\" data-pos=\"20\"\/>But even if Washington and Beijing find a sustainable way of doing business while continuing to compete, India&#8217;s fundamental advantages remain. India is a large democracy, a potential manufacturing alternative to China, a technology power and an Indo-Pacific state capable of helping balance Beijing.<span class=\"id-r-component br\" data-pos=\"23\"\/>But what could change is the urgency with which others seek them.<span class=\"id-r-component br\" data-pos=\"25\"\/>Here are 5 Indian interests worth watching.<span class=\"id-r-component br\" data-pos=\"27\"\/><\/p>\n<p><h3>Zoom in: What happens to China+1 if China becomes less risky?<\/h3>\n<\/p>\n<p>India&#8217;s manufacturing opportunity has been one of the clearest dividends from US-China tensions.<span class=\"id-r-component br\" data-pos=\"30\"\/>The logic of China+1 was never that companies would abandon China altogether. It was that relying almost entirely on one manufacturing ecosystem had become too dangerous.<span class=\"id-r-component br\" data-pos=\"32\"\/>The operating logic changed from \u201cjust in time\u201d to \u201cjust in case\u201d.<span class=\"id-r-component br\" data-pos=\"35\"\/>India cashed on it. The PLI scheme sought to attract investment in electronics, telecom equipment, pharmaceuticals and other industries. Electronics production expanded. Apple&#8217;s suppliers increased their Indian footprint.<span class=\"id-r-component br\" data-pos=\"37\"\/><\/p>\n<div data-pos=\"0\" class=\"id-r-component iIpbx undefined  &#10;        \">\n<div><img decoding=\"async\" alt=\"Mobile manufacturing&lt;br&gt;\" msid=\"134411750\" imgsize=\"443613\" resizemode=\"4\" width=\"\" title=\"US-China rivalry boosted India's mobile manufacturing, but a thaw could intensify competition\" placeholdersrc=\"https:\/\/static.toiimg.com\/photo\/83033472.cms\" offsetvertical=\"0\" placeholdermsid=\"47529300\" type=\"thumb\" class=\"\" src=\"https:\/\/static.toiimg.com\/photo\/imgsize-443613,msid-134411750\/mobile-manufacturingbr.jpg\" data-api-prerender=\"true\"\/><\/p>\n<p>US-China rivalry boosted India&#8217;s mobile manufacturing, but a thaw could intensify competition<\/p>\n<\/div>\n<\/div>\n<p><span class=\"id-r-component br\" data-pos=\"39\"\/>But consider what happens if US-China relations become more predictable.<span class=\"id-r-component br\" data-pos=\"41\"\/>China still possesses something India cannot replicate overnight: Gigantic supplier networks, world-class infrastructure, skilled labour, ports and manufacturing clusters built over decades.<span class=\"id-r-component br\" data-pos=\"44\"\/>If geopolitical risk falls, the premium companies are prepared to pay to manufacture elsewhere could fall with it.<span class=\"id-r-component br\" data-pos=\"46\"\/>That doesn&#8217;t mean factories return to China. Covid alone taught global companies the value of diversification.<span class=\"id-r-component br\" data-pos=\"48\"\/>But the next factory location becomes a more competitive decision.<span class=\"id-r-component br\" data-pos=\"50\"\/><\/p>\n<p><h3>2. Chips and AI: What if the technology wall develops doors?<\/h3>\n<\/p>\n<p>Semiconductors have become the defining battlefield of the US-China competition.<span class=\"id-r-component br\" data-pos=\"53\"\/>Washington has spent years restricting Chinese access to advanced chips and manufacturing technology. <!-- -->India, meanwhile, has positioned itself as a trusted technology partner.<span class=\"id-r-component br\" data-pos=\"57\"\/>The US-India TRUST initiative now encompasses semiconductors, AI, quantum technology, critical minerals, biotechnology, energy and space. It also envisages an AI infrastructure roadmap intended to accelerate US-origin AI investment and infrastructure in India.<span class=\"id-r-component br\" data-pos=\"59\"\/>But AI is also on the Trump-Xi agenda.<span class=\"id-r-component br\" data-pos=\"61\"\/>The two sides are exploring ways of managing risks from increasingly powerful AI models, although Washington remains committed to maintaining its technological advantage. <!-- -->China would also like relief from some US technology restrictions.<span class=\"id-r-component br\" data-pos=\"65\"\/>A summit will not dismantle America&#8217;s technology controls.<span class=\"id-r-component br\" data-pos=\"67\"\/>However, if Washington permits more \u201cnon-sensitive\u201d technology commerce with China, US companies regain access to an enormous market and Chinese firms gain additional room to operate.<span class=\"id-r-component br\" data-pos=\"69\"\/>India&#8217;s proposition consequently has to evolve from \u201cchoose us because China is unavailable\u201d to \u201cchoose us because India is indispensable.\u201d<span class=\"id-r-component br\" data-pos=\"72\"\/>That&#8217;s a much tougher test.<span class=\"id-r-component br\" data-pos=\"74\"\/><\/p>\n<p><h3>3. Rare earths: The minerals underneath the handshake<\/h3>\n<\/p>\n<p>Rare earths may be the most important part of the summit that most people have never heard of.<span class=\"id-r-component br\" data-pos=\"77\"\/>They are essential to EV motors, wind turbines, electronics, chips and advanced weapons. And China dominates their processing.<span class=\"id-r-component br\" data-pos=\"79\"\/>That dependence gives Beijing an extraordinarily effective form of economic leverage.<span class=\"id-r-component br\" data-pos=\"81\"\/>It also creates an opening for India.<span class=\"id-r-component br\" data-pos=\"83\"\/>India and the US have already signed a Strategic Critical Minerals Cooperation Framework covering mining, processing, recycling, financing and resilient supply chains. <!-- -->India is separately developing rare-earth corridors in Odisha, Kerala, Andhra Pradesh and Tamil Nadu.<span class=\"id-r-component br\" data-pos=\"87\"\/>But urgency is important.<span class=\"id-r-component br\" data-pos=\"89\"\/><\/p>\n<div data-pos=\"0\" class=\"id-r-component iIpbx undefined  &#10;        \">\n<div><img decoding=\"async\" alt=\"Critical minerals&lt;br&gt;\" msid=\"134411832\" imgsize=\"895213\" resizemode=\"4\" width=\"\" title=\"China's critical-mineral dominance gives Beijing major leverage over global supply chains\" placeholdersrc=\"https:\/\/static.toiimg.com\/photo\/83033472.cms\" offsetvertical=\"0\" placeholdermsid=\"47529300\" type=\"thumb\" class=\"\" src=\"https:\/\/static.toiimg.com\/photo\/imgsize-895213,msid-134411832\/critical-mineralsbr.jpg\" data-api-prerender=\"true\"\/><\/p>\n<p>China&#8217;s critical-mineral dominance gives Beijing major leverage over global supply chains<\/p>\n<\/div>\n<\/div>\n<p><span class=\"id-r-component br\" data-pos=\"91\"\/>The more insecure Washington feels about Chinese supplies, the stronger the incentive to finance alternatives.<span class=\"id-r-component br\" data-pos=\"93\"\/>If Trump secures predictable Chinese rare-earth exports, the immediate pressure to build expensive alternative supply chains could ease.<span class=\"id-r-component br\" data-pos=\"95\"\/><\/p>\n<p><h3>4. Russia and Iran: Watch what exemptions China gets<\/h3>\n<\/p>\n<p>Then there is energy.<span class=\"id-r-component br\" data-pos=\"98\"\/>India and China are both major purchasers of energy from countries Washington wants to isolate.<span class=\"id-r-component br\" data-pos=\"101\"\/>The Trump administration wants Beijing to reduce purchases of Iranian oil, while US pressure over Russian energy has placed India in the firing line as well. Iran is expected to feature in the Trump-Xi discussions.<span class=\"id-r-component br\" data-pos=\"103\"\/>What if Beijing receives exemptions, tariff relief or other concessions as part of a wider bargain while India faces tougher treatment for pursuing its own energy interests?<span class=\"id-r-component br\" data-pos=\"105\"\/>India would be watching the energy fine print of any Trump-Xi agreement.<span class=\"id-r-component br\" data-pos=\"108\"\/><\/p>\n<p><h3>5. The Quad: Does India matter less when China looks less threatening?<\/h3>\n<\/p>\n<p>The biggest question is strategic rather than economic.<span class=\"id-r-component br\" data-pos=\"111\"\/>The rise of the Quad &#8211; India, US, Japan and Australia &#8211; cannot be separated from anxiety about China&#8217;s growing influence across the Indo-Pacific.<span class=\"id-r-component br\" data-pos=\"113\"\/>Yet a US-China detente does not make India&#8217;s concerns about China disappear.<span class=\"id-r-component br\" data-pos=\"115\"\/>Beijing&#8217;s relationship with Pakistan remains. Competition across the Indian Ocean remains. Taiwan and the South China Sea remain potential flashpoints.<span class=\"id-r-component br\" data-pos=\"118\"\/>And even amid the US-China thaw, Washington and New Delhi have continued building mechanisms explicitly intended to diversify critical-mineral and technology supply chains. The US-India critical-minerals framework signed this year is already in force.<span class=\"id-r-component br\" data-pos=\"121\"\/>So the Quad isn&#8217;t about to disappear. But its political relevance could diminish.<span class=\"id-r-component br\" data-pos=\"123\"\/><\/p>\n<p><h3>India cannot outsource its rise to US-China rivalry<\/h3>\n<\/p>\n<p>India should hardly wish for a US-China confrontation. A trade war between the world&#8217;s two largest economies would damage the global growth.<span class=\"id-r-component br\" data-pos=\"127\"\/>India&#8217;s advantages remain formidable: Scale, demographics, geography, technological talent, military weight and a huge domestic market.<span class=\"id-r-component br\" data-pos=\"129\"\/>But those advantages ultimately have to stand on their own.<span class=\"id-r-component br\" data-pos=\"131\"\/>India&#8217;s task is to make sure its geopolitical value doesn&#8217;t depend on how well or badly those two men get along.<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/timesofindia.indiatimes.com\/business\/india-business\/from-chips-to-china1-five-reasons-india-should-watch-trump-xi-handshake\/articleshow\/134411510.cms\" target=\"_blank\" rel=\"noopener\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Trump-Xi summit puts tariffs, AI, rare earths and Taiwan in focus Chinese President Xi Jinping arrives in Washington on September 23 for a three-day state visit. When US President Donald Trump welcomes Xi to the White House, the two leaders will have plenty to talk about: tariffs, artificial intelligence, rare earths, Taiwan and Iran.India will [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":27354,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[31],"tags":[],"class_list":["post-27353","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-31"],"magazineBlocksPostFeaturedMedia":{"thumbnail":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","medium":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","medium_large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","1536x1536":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","2048x2048":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-small":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-small-tall":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-small-square":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-small-masonry":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-medium":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-medium-masonry":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-large":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg","blogsy-wide":"https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg"},"magazineBlocksPostAuthor":{"name":"admin","avatar":"https:\/\/secure.gravatar.com\/avatar\/8709732a479614e7a8aa24d3eb1b239f30dc6d90c61464ed495001e7a469d856?s=96&d=mm&r=g"},"magazineBlocksPostCommentsNumber":"0","magazineBlocksPostExcerpt":"Trump-Xi summit puts tariffs, AI, rare earths and Taiwan in focus Chinese President Xi Jinping arrives in Washington on September 23 for a three-day state visit. When US President Donald Trump welcomes Xi to the White House, the two leaders will have plenty to talk about: tariffs, artificial intelligence, rare earths, Taiwan and Iran.India will [&hellip;]","magazineBlocksPostCategories":["\u0b26\u0b47\u0b36 \u0b2c\u0b3f\u0b26\u0b47\u0b36"],"magazineBlocksPostViewCount":1,"magazineBlocksPostReadTime":6,"magazine_blocks_featured_image_url":{"full":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg",400,225,false],"medium":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg",300,169,false],"thumbnail":["https:\/\/koshalsambada.in\/wp-content\/uploads\/2026\/09\/1790079244_trump-xi.jpg",150,84,false]},"magazine_blocks_author":{"display_name":"admin","author_link":"https:\/\/koshalsambada.in\/author\/admin"},"magazine_blocks_comment":0,"magazine_blocks_author_image":"https:\/\/secure.gravatar.com\/avatar\/8709732a479614e7a8aa24d3eb1b239f30dc6d90c61464ed495001e7a469d856?s=96&d=mm&r=g","magazine_blocks_category":"<a href=\"#\" class=\"category-link category-link-31\">\u0b26\u0b47\u0b36 \u0b2c\u0b3f\u0b26\u0b47\u0b36<\/a>","_links":{"self":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts\/27353","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=27353"}],"version-history":[{"count":0,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/posts\/27353\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=\/wp\/v2\/media\/27354"}],"wp:attachment":[{"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=27353"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=27353"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/koshalsambada.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=27353"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}