China seeks to capitalize on LAC de-escalation to limit US-India ties: US Department of War report

2 min read     Updated on 24 Dec 2025, 09:41 PM
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Overview

US Department of War report suggests China seeks to capitalize on LAC de-escalation with India to stabilize relations and limit US-India ties. Despite diplomatic progress including resumed flights and visa facilitation, mutual distrust continues to constrain bilateral relations. The assessment comes amid ongoing normalization efforts following the end of the four-year military standoff in eastern Ladakh.

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A recent US Department of War report to Congress suggests China is probably seeking to capitalize on reduced tensions along the Line of Actual Control (LAC) with India to stabilize bilateral relations and prevent the deepening of US-India strategic ties. The assessment comes as both Asian giants have initiated several measures to normalize relations after ending their prolonged military standoff.

Key Developments in India-China Relations

The US Department of War's annual report on 'Military and Security Developments Involving the People's Republic of China 2025' highlighted significant diplomatic progress between India and China in October 2024. Indian leadership announced an agreement with China to disengage from remaining standoff sites along the LAC, just two days before a meeting between Chinese President Xi Jinping and Prime Minister Narendra Modi on the sidelines of the BRICS Summit.

Development Timeline Details
LAC Disengagement Agreement October 2024 Agreement to disengage from remaining standoff sites
Xi-Modi Meeting October 2024 Meeting at BRICS Summit sidelines
Tourist Visa Resumption July 2024 India resumed granting tourist visas for Chinese nationals
Direct Flights October 2024 Resumption of direct flights between both countries

Strategic Implications and Mutual Distrust

According to the report, the Xi-Modi meeting marked the beginning of monthly high-level engagements between the two countries. These discussions have covered border management and various bilateral relationship aspects, including direct flights, visa facilitation, and exchanges of academics and journalists.

However, the US assessment suggests underlying strategic motivations. "China probably seeks to capitalise on decreased tension along the LAC to stabilise bilateral relations and prevent the deepening of US-India ties; however, India probably remains sceptical of China's actions and motives," the report stated. The analysis emphasizes that continued mutual distrust and other irritants almost certainly limit the bilateral relationship despite recent progress.

Recent Diplomatic Initiatives

India and China have agreed on several people-centric measures to reset their ties following the end of the over four-year military face-off along the LAC in eastern Ladakh. These initiatives include:

  • Agreement to resume Kailash Manasarovar Yatra
  • Resumption of direct flights between the countries
  • Commemoration of the 75th anniversary of diplomatic relations
  • Enhanced visa facilitation measures

In August, Prime Minister Modi and President Xi agreed to deepen bilateral ties to combat pressing challenges and work towards a "fair" solution to the ongoing border issue.

China's Strategic Objectives

The Department of War report outlined China's broader strategic framework, noting that China's National Strategy aims to achieve "the great rejuvenation of the Chinese nation" by 2049. This vision includes raising China's "influence, appeal, and power to shape events to a new level" while fielding a "world-class" military capable of safeguarding the country's sovereignty, security, and development interests.

The report identified China's three "core interests" as issues central to national rejuvenation that are not subject to negotiation or compromise. China's leadership has extended the term 'core interest' to cover Taiwan and sovereignty claims in territorial disputes, including the South China Sea, the Senkaku Islands, and the northeastern Indian state of Arunachal Pradesh.

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Dow Jones Opens Higher with 79.79 Point Gain, Reaches 48,783.80 Level

0 min read     Updated on 12 Dec 2025, 02:43 PM
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Reviewed by
Shriram SScanX News Team
Overview

The Dow Jones Industrial Average demonstrated positive momentum at market opening, gaining 79.79 points or 0.16% to reach 48,783.80. This upward movement reflects steady market conditions and measured investor confidence as the trading session began.

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The Dow Jones Industrial Average opened higher in today's trading session, gaining 79.79 points or 0.16% to reach 48,783.80. This upward movement reflects positive market sentiment as investors began the trading day with optimism.

Market Opening Performance

The following table shows the Dow Jones opening performance:

Metric: Value
Opening Level: 48,783.80
Point Gain: 79.79
Percentage Change: +0.16%
Market Direction: Positive

Trading Session Dynamics

The modest but positive opening indicates steady market conditions as the Dow Jones continues its trading activity. The 0.16% increase demonstrates measured investor confidence at the start of the session, with the index building on previous levels to reach the 48,783.80 mark.

Market Implications

This opening performance suggests stable market conditions with investors showing cautious optimism. The 79.79-point gain, while modest in absolute terms, represents consistent upward momentum for one of the key benchmark indices tracking large-cap U.S. stocks.

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