In an interview published Sunday by the Financial Times, Trump said the timing of the meeting could shift depending on progress in restoring navigation through the key oil transit route.

“We’d like to know before (the summit),” Trump said, adding that “we may delay,” without specifying how long a postponement might last.

The Strait of Hormuz, which connects Gulf energy producers to global markets, has come under heightened strain during the conflict with Iran, raising concerns about disruptions to international oil shipments.

Washington has sought diplomatic and security cooperation from major powers to ensure the passage remains open as tensions across the Middle East escalate.

Trump’s remarks suggest the United States is looking to China to play a role in stabilizing the situation. Beijing maintains significant economic ties with Iran and is a major importer of Gulf energy supplies that pass through the strait.

The proposed summit in Beijing had been expected to focus on trade and geopolitical issues between the two powers, but Trump indicated that progress on the maritime corridor could influence whether the meeting proceeds on schedule.

The decision represents one of the most significant adjustments to India’s investment screening regime since New Delhi tightened scrutiny of foreign capital from neighbouring countries following the confrontation along the disputed Himalayan frontier. The earlier restrictions had sharply slowed Chinese investment into India and complicated business ties between the two Asian powers.

Government officials have said the easing will apply to selected sectors, though authorities have not detailed the full scope of industries affected. The move forms part of a broader effort to stabilise bilateral relations that have gradually improved since diplomatic and military engagements helped ease tensions along the border.

India introduced stringent investment screening rules in April 2020, requiring government approval for all foreign direct investment from countries sharing a land border with India. The policy applied most prominently to Chinese firms and was framed by New Delhi as a safeguard against opportunistic takeovers of Indian companies during the economic disruptions caused by the COVID-19 pandemic.

The measure followed a deterioration in relations after a deadly clash between Indian and Chinese troops along their disputed frontier in June 2020. The confrontation led to the most serious military standoff between the two nuclear-armed neighbours in decades and triggered a broad reassessment of economic engagement.

Shortly after the clash, India banned 59 mobile applications linked to Chinese companies, including TikTok, WeChat and UC Browser, citing national security concerns. The ban marked a major escalation in India’s technology restrictions on Chinese firms and was followed by additional curbs affecting telecommunications equipment, infrastructure projects and digital services.

The heightened scrutiny of Chinese investment had a tangible impact on cross-border business activity. Several proposed projects by Chinese companies faced delays or failed to receive regulatory clearance under the tighter rules.

In July 2022, Chinese automaker Great Wall Motor abandoned plans to invest $1 billion in India after it was unable to obtain government approvals required under the post-2020 investment screening framework.

A year later, India rejected a separate $1 billion investment proposal from Chinese electric vehicle manufacturer BYD, again citing security concerns linked to foreign investment from neighbouring countries.

The stalled investments underscored the broader chill in economic ties that followed the border confrontation. While trade between the two countries continued at significant levels, new investment activity from Chinese firms slowed sharply amid regulatory barriers and heightened political sensitivity.

Industry groups and manufacturers had raised concerns that the restrictions were complicating supply chains and delaying industrial projects that relied on Chinese capital, components or technical expertise.

Relations between India and China began to stabilise after the two sides reached an agreement in October 2024 on patrolling arrangements along the disputed frontier, effectively ending a four-year military standoff.

Diplomatic engagement expanded gradually after that agreement, paving the way for a series of economic and travel-related policy adjustments.In July 2025, the government think tank NITI Aayog proposed allowing Chinese companies to acquire up to a 24% stake in Indian firms without requiring security clearance. The proposal was aimed at reducing approval delays created by the post-2020 screening system while maintaining oversight of sensitive sectors.

The diplomatic thaw became more visible in August 2025 when Prime Minister Narendra Modi travelled to China for the first time in more than seven years. The visit signalled renewed engagement between the two governments at a time when geopolitical tensions between China and the United States were rising.

Further steps toward normalising economic ties followed later in the year. In October 2025, the two countries agreed to resume direct commercial flights after a five-year suspension that had disrupted travel and business links.

By December 2025, India began issuing more business visas to Chinese professionals, a move intended to address shortages of technical staff at factories and industrial facilities that had reduced output and delayed projects across several sectors.

Economic considerations have increasingly influenced India’s approach to managing its relationship with China. Indian companies and state-run enterprises have faced supply constraints in areas where Chinese equipment and technical support remain widely used.

In February 2026, India began easing restrictions on the purchase of certain Chinese industrial equipment, allowing state-owned power and coal companies to import machinery in limited quantities. Officials said the policy change was intended to address shortages that had slowed energy and infrastructure projects.

The latest move to relax investment restrictions is seen as part of this broader recalibration. While the government has not announced a full reversal of the screening framework introduced in 2020, officials have indicated that selected sectors could receive greater flexibility for foreign capital.Trade between the two countries has remained robust despite diplomatic tensions, with China continuing to be one of India’s largest trading partners.

However, investment flows have lagged behind trade volumes since the regulatory tightening.Analysts say the evolving policy stance reflects India’s attempt to balance economic needs with security concerns related to strategic industries and infrastructure.

Government officials have not provided detailed guidance on the sectors covered by the eased investment rules or whether additional regulatory safeguards will accompany the policy shift.

Foreign Minister Wang Yi made the remarks during a press conference on the sidelines of China’s annual parliamentary meeting in Beijing, warning that the absence of engagement between the world’s two largest economies could deepen tensions at a time of heightened geopolitical strain. “Failure to engage between the two nations would only lead to misunderstandings and misjudgements, escalating toward confrontation and harming the world,” Wang said. His comments came as both governments prepare for a potential meeting between Xi and Trump later this month, a summit expected to address trade, security and regional tensions amid an increasingly complex global environment.

Summit preparations intensify ,Analysts say the planned meeting between the two leaders carries heightened importance as relations between Beijing and Washington face renewed scrutiny.The United States has intensified actions affecting countries with close economic and political ties to China, including Iran and Venezuela, developments that have drawn attention to Beijing’s diplomatic posture and its willingness to defend partners facing pressure from Washington. Observers say the confrontation unfolding in the Middle East and Washington’s broader geopolitical strategy are testing China’s foreign policy approach, which traditionally emphasises economic partnerships and diplomatic engagement rather than direct military involvement.Pressure on China’s foreign policyChina’s international strategy has rarely faced this level of examination in recent decades, according to Yasser Nasser, a historian at the University of Tennessee, Knoxville.“In some senses it is existential in that it reveals that Chinese economic commitments or commitments to arms deals, for example, do not translate to directly confronting the U.S. or preventing interventions as, for example, it did during the Vietnam War,” Nasser said.

The evolving global environment has placed China in a complex position as it seeks to maintain relations with partners targeted by U.S. policies while avoiding direct confrontation with Washington.Diplomacy framed as stabilising forceWang used the press conference to emphasise China’s preference for diplomacy and engagement in international affairs, contrasting that approach with what he characterised as reliance on force in resolving disputes.He said sustained communication between major powers was necessary to maintain stability in the international system and warned against policies that could push the global order toward confrontation.China has repeatedly urged dialogue to address geopolitical tensions, including conflicts linked to the Middle East crisis and broader strategic competition between major powers. The expected Xi-Trump meeting is being closely watched by governments and markets worldwide as a potential indicator of how the two powers intend to manage their rivalry and cooperation across trade, security and diplomatic arenas.

Japanese minister Ryosei Akazawa said the request was made during talks with U.S. Commerce Secretary Howard Lutnick as Tokyo sought assurances that the latest tariffs announced by U.S. President Donald Trump would not undermine the terms agreed in last year’s bilateral trade deal.The United States in February imposed a new 10% blanket tariff on imports that could rise to 15%, a move that has generated fresh uncertainty about global trade flows and the tariff rates facing importers under existing agreements.Akazawa said both governments reaffirmed their commitment to the bilateral trade framework agreed last year, which established a baseline 15% tariff on nearly all Japanese imports into the United States. That agreement had reduced duties from 27.5% on Japanese automobiles and avoided an initially proposed 25% tariff on most other goods.concerns over new tariff framework“We requested that Japan’s treatment under the new tariff rules would not become less favourable than what was agreed last year,” Akazawa said, referring to the potential impact of the newly introduced blanket levy on Japanese exporters.He said the tariffs could otherwise raise costs for certain Japanese products shipped to the United States, though he declined to provide details on specific sectors or how Washington responded to Tokyo’s request.The discussions reflect concerns in Tokyo that changes to U.S. tariff policy could alter the balance achieved in the previous agreement, which was designed to stabilize trade relations between the two countries.investment and economic cooperation discussed.

Akazawa said the talks also covered projects linked to Japan’s pledge to invest $550 billion in the United States, an initiative aimed at deepening economic cooperation between the two economies.He said the two sides discussed collaboration in areas including energy and critical minerals, sectors that have become increasingly important to supply chain security and industrial policy in both countries.The discussions come ahead of a planned visit by Japanese Prime Minister Sanae Takaichi to Washington on March 19, which officials expect will include further talks on economic ties and investment cooperation.U.S. statement focuses on economic tiesThe U.S. Commerce Department said in a post on X that Lutnick and Akazawa met to discuss strengthening economic ties following last month’s investment agreement between the two countries.The department did not mention Japan’s concerns about tariff treatment under the new U.S. import levy.The tariff measures introduced by the Trump administration have prompted governments and businesses to reassess the implications for global trade agreements and supply chains, particularly for export-dependent economies such as Japan.