The United States Department of War on Tuesday said that China was probably seeking to capitalise on the decreased military tensions along the Line of Actual Control to prevent the deepening of New Delhi-Washington ties.

Beijing was also seeking to use the thaw to stabilise its bilateral relations with New Delhi, the Pentagon said in an annual report submitted to the US Congress about the military and security developments relating to China.

India “probably remains sceptical of China’s actions and motives”, the report said. “Continued mutual distrust and other irritants almost certainly limit the [India-China] bilateral relationship,” it added.

Border tensions between India and China escalated in June 2020 when a violent face-off between Indian and Chinese soldiers took place in Ladakh’s Galwan Valley along the Line of Actual Control. It led to the deaths of 20 Indian soldiers. Beijing said that the clash left four of its soldiers dead.

Initial rounds of disengagement occurred at several points of tension, including Galwan Valley, Hot Springs and Pangong Tso, but Demchok and Depsang had remained points of contention.

The report reiterates Pentagon's view that the Chinese leadership has extended the term “core interest” to cover Beijing’s sovereignty claims “amid territorial disputes” including Arunachal Pradesh.

Beijing refers to Arunachal Pradesh as Zangnan. It lays territorial claims over a large portion of the state, claiming that it is “South Tibet”. India has rejected China’s claims.

In a chapter detailing the Pentagon’s view of Chinese strategy and the US-China relations, the report noted that New Delhi and Beijing had in October 2024 announced a patrolling arrangement along the Line of Actual Control, “leading to the disengagement” of the two militaries in eastern Ladakh.

The agreement had come two days before Prime Minister Narendra Modi and Chinese President Xi Jinping met on the sidelines of the BRICS Summit in Kazan, Russia. This was their first formal meeting since the 2020 skirmishes.

The Pentagon said that the leaders’ meeting “marked the onset of monthly high-level engagements between the two countries” where border management was discussed, along with steps to improve bilateral relationship such as resumption of flights between Indian and Chinese cities and reopening of visa services.

The US has in recent decades viewed India as a counterweight to China’s growing influence in the Indo-Pacific. The improving defence partnership with Washington has also been viewed favourably by New Delhi. Improving ties with India has found bipartisan support in both countries over the past 25 years.

However, US President Donald Trump’s so-called reciprocal tariffs, additional levies for purchase of Russian oil amid the Ukraine war and repeated claims that he mediated a ceasefire between India and Pakistan following their four-day conflict in May have strained ties.

New Delhi has denied Trump’s claims of having mediated an end to the conflict.

Also read: Modi in China: New détente or a progressive trajectory?