China assures India to address its concerns over rare earths, fertilisers

New Delhi, Aug 19 (IANS) In a sign of further thawing of economic ties, China has assured India to address its major trade concerns, especially around the import of rare earths and fertilisers.

Chinese Foreign Minister Wang Yi has told External Affairs Minister (EAM) Dr S Jaishankar that Beijing is addressing India’s three key concerns — rare earths, fertilisers and tunnel boring machines, according to government sources.

China has imposed restrictions on the exports of rare earth magnets in retaliation against the US tariff hikes and is using the commodity as a bargaining chip in the trade war. This has also had an impact on other countries that are dependent on Chinese imports.

Rare earth magnets are used in a variety of high-tech applications, ranging from electronic goods and electric vehicles to large-scale industrial equipment.

Chinese Foreign Minister Wang Yi arrived in New Delhi on Monday for a two-day official visit during which he will hold a fresh round of Special Representatives (SR) dialogue on the boundary question with National Security Advisor (NSA) Ajit Doval and also call on Prime Minister Narendra Modi.

China's Foreign Ministry asserted that Wang Yi's India visit will help in both countries working together to implement the consensus reached between Chinese President Xi Jinping and Prime Minister Narendra Modi last year.

During his opening remarks, EAM Jaishankar said as neighbouring nations and major economies in the world, there are various facets and dimensions of the India-China ties.

“It is also essential in this context that restrictive trade measures and roadblocks are avoided", he added.

"When the world’s two largest nations meet, it is natural that the international situation will be discussed. We seek a fair, balanced and multi-polar world order, including a multi-polar Asia. Reformed multilateralism is also the call of the day. In the current environment, there is clearly the imperative of maintaining and enhancing stability in the global economy as well. The fight against terrorism in all its forms and manifestations is another major priority. I look forward to our exchange of views," EAM Jaishankar noted.

The meetings could see both sides deliberate on a range of key issues, including the border situation, trade and resumption of flight services.

—IANS

na/