When China and India meet, the rest of Asia's herd can be permitted a tingle down the spine because this is the turf on which the biggies play.
China and India are home to 2.4 billion people, accounting for about 1/3 of the world population. Except for a brief clash in 1962, the 2 civilisations had coexisted peacefully for 2000 years, since the days of commerce and the exchange in humanistic thought through a branch of the Silk Road.
Their ancient cultures meet as equals: there is no payment deficit on either side. Where China had moved ahead rapidly in recent time is in its export-led manufacturing that has given its economy roughly 3 times the size of India's. This is largely due in part to a 13-year head start in economic reform.
But India is moving too, albeit more slowly, but in interesting ways: it sends out more tourists and investments than it receives. It has efficient and entrepreneurial corporate managers and has invented a developmental model of building its service industry ahead of manufacturing.
The evidence is that China's competitive challenge has only thrust Indian industry to perform better in the world stage.
So watch out! The 'Chindia' locomotive is chugging at full speed in it relentless drive towards globalisation.



