India and China are the two largest developing countries who share one of the longest demarcated boundaries. The dispute with China mainly revolves around 1, 25000 sq. of boundary in Western, Eastern and Central Sectors.

In the Western sector China leased 34,000 km. Area in Aksai Chin, the central sector involves Nepal (the Kalapani area) and Barahoti area. In eastern sector China does not recognise Macmohan line and contests the ownership of Sumdurong Chu in Mishmi hills.

In recent years there have been official visit and talks between the two countries. During Mr. Jaswant Singh’s visit both countries agreed to complete the delineation of the LAC within a reasonable time frame. To combat terrorism was a follow-up of a promise that Jhu Rongji made during his India’s visit.

They also decided to aggressively pursue the full potential of economic relation. The Joint Economic Group is to be activated. Cooperation in tourism and use of outer space, exchange of hydrological information etc. are other points of convergence.