Group 1: Restoration of Direct Flights - The direct flight between Kolkata, India, and Guangzhou, China, has resumed after a five-year hiatus, significantly reducing travel time to just over three hours [1][3] - Indigo Airlines, the largest airline in India by market share, operates the inaugural flight, marking a positive step in improving India-China relations [1][3] - The restoration of direct flights is seen as a response to the economic benefits experienced by Indian businesses in their trade with China [1][4] Group 2: Economic Implications - The direct flight will enhance trade activities by reducing logistics and transit times, benefiting commercial exchanges [4] - Prior to the pandemic, there were over 500 direct flights monthly between India and China, indicating a strong pre-existing travel and trade relationship [5] - The resumption of direct flights is expected to further boost India-China economic cooperation, with China remaining India's largest trading partner [6] Group 3: Future Developments - Indigo Airlines plans to launch a second direct route from Delhi to Guangzhou starting November 10, 2025, indicating a rapid expansion of connectivity [5] - China Eastern Airlines will also begin flights from Shanghai to Delhi, increasing the number of direct routes between the two countries to three [5] - The Indian government has resumed accepting tourist visa applications from Chinese citizens, which is anticipated to further enhance bilateral exchanges [5]

Core Insights - India and China are set to resume direct flights after a five-year hiatus, marking the first resumption of direct air travel since the pandemic [2] - The agreement allows for the restoration of direct flights between designated points in both countries by the end of October 2025, contingent on commercial decisions by designated airlines [2] - IndiGo has announced the launch of flights from Kolkata to Guangzhou starting October 26, 2025, with Air India also planning to return to the Chinese market [3] Summary by Sections Flight Operations - Prior to the pandemic in October 2019, there were four Chinese carriers operating flights between India and China, with Eastern Airlines having the largest share at 24.2% [4] - Southern Airlines accounted for 22.9%, while Air China and Shandong Airlines had shares of 12.4% and 6.4% respectively [4] - On the Indian side, IndiGo held a 20.8% share, and Air India had an 8.2% share of the market [4] Market Dynamics - The majority of flights were concentrated on routes from major cities like Beijing, Shanghai, and Guangzhou to New Delhi, with the highest volume on the Guangzhou-New Delhi route at 22.9% [4] - The resumption of direct flights is expected to reshape the Asian aviation market, as many Indian travelers previously relied on transit through hubs like Hong Kong and Singapore to reach Europe and the US [5] - The opening of direct routes is anticipated to attract Indian travelers through major Chinese hubs to international destinations [5] Policy Changes - Prior to the resumption of flights, visa policies between the two countries were optimized, with India restoring tourist visa issuance to Chinese citizens in July [4] - In August, foreign ministers from both countries reached a consensus to promote bilateral trade and investment [4]