New Delhi [India], July 21 (ANI): India's leading auto components maker Sona BLW Precision Forgings (Sona Comstar) has signed a binding term sheet with Jinnaite Machinery Co (JNT) of China to establish a joint venture company in Beijing last week.

The JV will manufacture and supply driveline systems and components to automotive manufacturers in China and globally.

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In the first phase Sona Comstar will invest USD 12 million, while JNT will contribute USD 8 million in assets and business to the JV company. The JV is expected to commence operations in the second half of the current financial year, marking a significant milestone in Sona Comstar's expansion into the Chinese electric vehicle market.

This expansion of an Indian company in collaboration with its Chinese counterpart, is seen by many as a strategic shift of India's businesses in the faster growing Asian markets including China.

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External Affairs Minister S Jaishankar visited China recently for the Shanghai Cooperation Organisation (SCO) Foreign Ministers meeting.

He held a bilateral meeting with his Chinese counterpart, CPC Politbureau Member and Foreign Minister Wang Yi on July 14, 2025.

Thereafter, addressing the SCO members, Jaishankar highlighted that in the complex international situation, major economies and neighboring nations India and China can't stay apart.

"The international situation as we meet today is very complex. As neighbouring nations and major economies, an open exchange of views and perspective between India and China is very important. I look forward to such discussions during the visit," noted Jaishankar, while addressing the SCO event.

In his bilateral meeting, Jaishankar took up restrictive trade measures and roadblocks to economic cooperation. Jaishankar also highlighted the positive impact of peace and tranquility in the border for smooth development in bilateral relations and supported continued efforts towards de-escalation and border management.

The Ministers also reviewed the state of India-China bilateral relationship. They took note of the recent progress made by the two sides to stabilize and rebuild ties, with priority on people-centric engagements.

Before Jaishankar, Defence Minister Rajnath Singh also visited China in June for the SCO Defence Ministers' meeting.

Earlier this year, in January, Foreign Secretary Vikram Misri visited Beijing, where the two sides agreed to hold an early meeting of the India-China Expert Level Mechanism to discuss resumption of provision of hydrological data and other cooperation pertaining to trans-border rivers. (ANI)

(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)