India and China on Tuesday discussed ways to address "concerns" relating to trade and underlined the importance of maintaining peace and tranquillity in the border areas for overall progress in their relations.

In their talks, Foreign Secretary Vikram Misri and his Chinese counterpart Ma Zhaoxu primarily focussed on steps taken by the two sides to stabilise and rebuild bilateral ties that had come under severe strain following the over four-year military standoff in eastern Ladakh.

Ma, the executive vice foreign minister, is in India to participate in the BRICS Sherpa meeting.

China and India should see each other as partners, not as competitors, and properly manage their differences, the Chinese Foreign Ministry said on Tuesday, after Ma Zhaoxu and Misri met in New Delhi.

Ma is the latest in a line of senior Chinese officials who have visited India to further improve bilateral relations since the two countries' leaders met in China last year to reset ties previously ruptured by a border clash in 2020.

In the meeting held under the framework of India-China Strategic Dialogue, both sides recognised the need for an early conclusion of an updated air services agreement.

External Affairs Ministry spokesperson Randhir Jaiswal said both sides reviewed the "positive momentum" in bilateral relations and discussed ways to further advance ties by enhancing people-to-people exchanges and "addressing concerns on sensitive issues".

Though Jaiswal did not elaborate on the "sensitive issues", it is understood that the Indian side has been concerned over China's export control measures relating to rare earth minerals.

An Indian readout of the Misri-Ma meeting said the discussions primarily "focussed on the recent progress made in stabilising and rebuilding bilateral ties and ways to take bilateral engagement forward." "Both sides underscored the importance of peace and tranquillity in the border areas for overall progress in bilateral relations".

"They reiterated their commitment to implement the guidance provided by their leaders including on the need to proceed from a political and strategic direction to approach issues and concerns related to bilateral trade," it said.

The MEA said Misri noted the successful resumption of the Kailash Mansarovar Yatra and hoped for the continued expansion of the scale of the Yatra.

"Both sides recognised the need for an early conclusion of an updated air services agreement. The two sides agreed to continue to take practical steps for visa facilitation and promote people-to-people contacts," it said.

Misri and Ma also discussed various regional and international issues.

In the last few months, India and China have initiated a series of measures to normalise their relations after ending the military face-off along the Line of Actual Control (LAC) in October 2024.