Indian Prime Minister Narendra Modi’s top aide said ties with Beijing are on an “upward trend,” another signal that New Delhi may be recalibrating its foreign policy amid mounting tariff pressure from US President Donald Trump.

India and China are aware of the “very high political, economic and military cost of frozen relations,” he says. “China felt it had pushed India too close to the U.S. while India realized that it was losing its vaunted strategic autonomy by getting too close to Washington and turning Beijing into an adversary.”

China’s Foreign Minister Wang Yi made a veiled reference to the U.S. in New Delhi on Monday, by noting that India and Beijing should find ways to coexist against a backdrop of “unilateral bullying.” C