China has achieved its great power status through rapid economic development in last three decades. China very well knows that maintenance of political power dominance at regional level and fulfilling its aspirations of global power would be possible only if its global economic dominance is maintained. China, being an export led economy is highly dependent on its market abroad and also on access to global efficient transport infrastructure across the globe and specifically to its potential export destination to export its finished goods and procure raw materials. Maritime transport happens to be most cost effective mode of transport of goods in bulk. Therefore China places great importance to sea transport and in turn maritime security to protect its economic interest. China can make sea transport of its goods to Europe and North & East Africa more efficient through transporting its goods through Pakistan via new port being constructed at Gwadar in Baluchistan whith the help of China that will transport goods through Arabian Sea. Similarly for accessing North American, Latin American and other Pacific Island nations market it has to depend on Indian Ocean and South China Sea to have an efficient access to Pacific Ocean. China very well knows the importance of soft power specially in dealing with smaller developing and least developing countries (LDCs) in order to secure a market, and have access to port and sea lane.
Chinese Foreign Minister Wang Yi is in India on 8th June 2014 to improve Sino-India relation. Perhaps, he will discuss the India visit of President Xi Jinping also to further improve relations. Modi has already accepted Japanese Prime Minister Abe Shinzo's invitation to vist Japan in July this year. US President Obama's invitation has also been accepted by Modi and he is likely to visit in September this year. All these three countries who are trying to cozing up their relations with new government in India led by Modi are great economic power and two of them i.e. US and China are strong military power. US and Japan are aligned and thay have their own joint security and strategic arrangements. Now it is to see which way Modi government leans. Is it towards US-Japan axis or towards China or maintain equidistance from all the three and maintainging only business relations. However, unlike many other head of Governments, Modi has displayed a unique diplomatic sign by choosing Bhutan as his first foregn visit as Prime Minister of India,
As far as Modi is concerned, he believes that if India has to get a respectful place among comity of powerful nations, it has to make rapid economic progress. And for economic development and progress, peace is an essential requirements and more so with neighbors. Similarly, China also must be aware of this fact that any confrontation or armed conflict may also spoil its ambition to become number one economic power in the world, because history is testimony that whoever plunged in war have lost their position even after winning the war. Therefore, both India and China would appreciate that this is not the proper time to dig up the old embarrassing issues rather to collaborate and cooperate for mutual benefits. As far as Japan is concerned, it will always try to rope in India against China to contain China in order to be in advantageous position in its relation with China. As far as US is concerned, it also does not want a strong China which could undermine its position in Asia and Pacific region, and it will try to prop up India against China, that will not be in over all interest of India and China. If India and China come under confrontation, the western power led by US will again try to hold their grip on Asia and would try to make its colony economically. Arms trade and possible future FDI by US defence manufacturing companies in India should not be seen in terms of strategic cooperation between India and US as it is compulsion of these two countries to come together to fulfill their mutual interest, as India is in dire need of getting defence technology, and US has to save its defence production units by providing them market. Now it is to see how India under leadership of Modi handle these three powerful nation and work cautiously to best of its advantage.