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India-China Move Towards Reopening Shipki-La Trade Route

China Agrees in Principle to Resume Border Trade Through Himachal’s Historic Pass After Diplomatic Talks

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India-China Move Towards Reopening Shipki-La Trade Route

1. Background – Shipki-La Trade Route

  • Shipki-La is a historic Himalayan trade pass in Himachal Pradesh’s Kinnaur district, serving as a traditional link between India and Tibet.
  • It was officially opened for border trade under the 1994 India-China bilateral agreement.
  • Trade was suspended in 2020 due to the COVID-19 pandemic, halting centuries-old cultural and economic exchanges.

2. Diplomatic Push

  • Himachal Pradesh CM Sukhvinder Singh Sukhu urged the Union government to revive the route.
  • Following this, India engaged in diplomatic discussions with China.
  • During Chinese Foreign Minister Wang Yi’s recent visit, China agreed in principle to reopen the trade route.

3. Wider Border Trade Plans

  • India is also negotiating to restore trade via Lipulekh Pass (Uttarakhand) and Nathu La Pass (Sikkim).
  • External Affairs Minister S. Jaishankar confirmed efforts to resume trade at all three designated points.
  • This development is seen as a step towards improving India-China relations amidst broader geopolitical complexities.

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