India-US-China ties are at an all time high. This week U.S. Treasury Secretary Timothy Geithner will meet Indian finance minister Pranab Mukherjee and premiere Manmohan Singh to discuss increasing investments into India. Indian Foreign Minister S. M. Krishna will also meet his counterpart Yang Jiechi in Beijing to strengthen bilateral ties.
Next week, Chinese President Hu Jintao will visit Washington for a multi-nation nuclear security summit, where India will also be present. India and China will also discuss emerging market issues with their BRIC counterparts in Brazil, next week.
Although the three nations will meet at various levels under the pretext of different forums, the underlying issues will remain – China’s revaluation of the yuan, ways to increase and monitor investments and trade into and from India and China and nuclear security.
During his first visit to India tomorrow, Mr. Geithner, who has earlier visited China is expected to discuss various avenues for expanding US exports and investment in the South Asian nation. He is also expected to discuss ways India can develop its bond market to raise long-term funds at lower costs for development projects.
Meanwhile, although Krishna will visit Beijing and India and China will mark 60 years of diplomatic relations, the 14th inter-governmental meeting between the two nations is not expected to resolve any of the issues that exist between the two neighbors.
Later, next week however, at a 40 nation nuclear nonproliferation summit held by Obama in Washington, the two nations will together vow to reduce nuclear arms, the peaceful use of nuclear energy andthe fight against smuggling of nuclear materials. China, America and India all three are in legitimate pessession of nuclear weapons and materials.
The US is one of China and India’s largest weapons suppliers and a joint understanding to reduce nuclear armament in Asia will work towards stabilising North Korea’s nuclear progmamme, an initiative the US and China have been working towards.
President Jintao has also given his consent to the US to support Iran’s nuclear disarmament. As Western countries have reduced their trade with Iran, China has stepped up to fill the void. About 14 percent of China’s imported oil comes from Iran and the two countries engaged in US$27 billion worth of trade in 2008. China’s agreement to dissuade Iran will play a big role in making the world a safer place.
The BRIC nations that will gather next week in Brazil will work towards strengthening economic and financial ties amongst themselves. Having weathered the financial storm better than developed nations, the summit will fortify cooperation between the BRIC countries.