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| China seeks improved India ties | |
| (40 minutes later) | |
| Chinese President Hu Jintao has said China wants to increase its "mutual trust" with India. | |
| Mr Hu, who is the first Chinese head of state to visit India in 10 years, has also held talks with Indian Prime Minister Manmohan Singh. | |
| The two countries are expected to sign a series of co-operation agreements. | |
| But correspondents say that despite rapidly improving economic ties, the two countries are unlikely to resolve a series of outstanding political issues. | But correspondents say that despite rapidly improving economic ties, the two countries are unlikely to resolve a series of outstanding political issues. |
| Mr Hu arrived in the Indian capital, Delhi, on Monday evening. His four-day trip also includes a visit to the financial capital, Mumbai (Bombay). | |
| "The purposes of my visit to India is to strengthen our friendship, increase our mutual trust, expand our co-operation and chart a course for the future," Mr Hu told reporters ahead of his talks with Mr Singh. | |
| China and India have overcome many hurdles in their relationship in recent decades, though differences remain, according to the BBC's Sanjoy Majumder in Delhi. | China and India have overcome many hurdles in their relationship in recent decades, though differences remain, according to the BBC's Sanjoy Majumder in Delhi. |
| But rising trade between two of the world's fastest growing economies is encouraging vastly improved ties, our correspondent says. | But rising trade between two of the world's fastest growing economies is encouraging vastly improved ties, our correspondent says. |
| Trade between the two countries is expected to touch $20bn by next year. In the 1990s it was only about $250m. | Trade between the two countries is expected to touch $20bn by next year. In the 1990s it was only about $250m. |
| Our correspondent says that mutual economic interests are often undermined by politics, given that the two countries have ambitions of being the unrivalled regional superpower. | Our correspondent says that mutual economic interests are often undermined by politics, given that the two countries have ambitions of being the unrivalled regional superpower. |
| Ties have been strained despite growing trade | Ties have been strained despite growing trade |
| Recently, China's ambassador to India renewed an old controversy over India's border state of Arunachal Pradesh, saying it was a part of Chinese territory. | Recently, China's ambassador to India renewed an old controversy over India's border state of Arunachal Pradesh, saying it was a part of Chinese territory. |
| India's Foreign Minister Pranab Mukherjee rejected the claim, saying Arunachal Pradesh was an "integral part of India". | India's Foreign Minister Pranab Mukherjee rejected the claim, saying Arunachal Pradesh was an "integral part of India". |
| The dispute dates back to a military conflict in 1962. | The dispute dates back to a military conflict in 1962. |
| India also lays claim to the 38,000 square kilometre Aksai Chin region in the north of Kashmir, which is administered by China. | India also lays claim to the 38,000 square kilometre Aksai Chin region in the north of Kashmir, which is administered by China. |
| India and China fought a brief war in 1962, with a decisive victory for the Chinese, an event which many Indians still view as traumatic. | India and China fought a brief war in 1962, with a decisive victory for the Chinese, an event which many Indians still view as traumatic. |
| Pakistan relationship | Pakistan relationship |
| Delhi is also suspicious of China's relationship with its long-time rival Pakistan - which Mr Hu is due to visit after his trip to India. | |
| Local traders have welcomed the opening of border trade | Local traders have welcomed the opening of border trade |
| China, meanwhile, is concerned about Delhi's growing ties with Washington, especially the landmark nuclear agreement between the two which allows India access to civilian nuclear technology. | China, meanwhile, is concerned about Delhi's growing ties with Washington, especially the landmark nuclear agreement between the two which allows India access to civilian nuclear technology. |
| The Tibetan government-in-exile, led by the Dalai Lama, is hosted by India and is based in Dharamsala in the country's north-western state of Himachal Pradesh. | The Tibetan government-in-exile, led by the Dalai Lama, is hosted by India and is based in Dharamsala in the country's north-western state of Himachal Pradesh. |
| A leading Tibetan activist said last week that police had banned him from leaving Dharamsala while Mr Hu was in the country. | A leading Tibetan activist said last week that police had banned him from leaving Dharamsala while Mr Hu was in the country. |
| Both India and China have produced staggering economic growth in recent years, but India continues to lag behind on many fronts, correspondents say. | |
| China has a literacy rate of 95%, compared to India's 68%. India's exports of manufactured goods in the financial year ending this March was $71bn, compared to $713bn for China. | China has a literacy rate of 95%, compared to India's 68%. India's exports of manufactured goods in the financial year ending this March was $71bn, compared to $713bn for China. |