Illustration: Xia Qing/GT

The Upper Marsyangdi A hydropower project in Nepal, funded and operated by a Chinese company, had cumulatively generated 3 billion kilowatt-hours of electricity as of Friday evening. Since it began operation, the plant has continuously supplied the Nepalese power market with stable, high-quality clean energy, effectively easing electricity shortages during the dry season. This project is a vivid example of the broad-based cooperation between China and Nepal.

Recently, Nepal and China celebrated the 70th anniversary of the establishment of diplomatic relations between the two countries. This sustained cooperation, which has expanded for more than seven decades, stems from a unique combination of geographic proximity, shared strategic interests, economic complementarity and evolving geopolitical dynamics. The resilience and growth of the relationship can be explained through a series of pragmatic, mutually beneficial developments rooted in infrastructure, trade, cultural exchange and regional diplomacy.

Nepal's location as a landlocked country nestled between two regional giants - India and China - places it at a strategic crossroads of South and East Asia. This geographical reality makes maintaining balanced, friendly relations with both neighbors essential for Nepal's sovereignty, economic growth and security. China's western frontier touches Nepal's northern border along the Himalayan range, providing the basis for trans-Himalayan connectivity and cross-border cooperation.

Infrastructure and connectivity are the backbone of China-Nepal cooperation. China, as a rising global power and a key player in Asia, recognizes Nepal's importance as a gateway to South Asia. Nepal benefits from China's investments and infrastructure development, which diversify its economic and diplomatic options beyond traditional ties with India.

In December 2024, Nepal and China signed a framework agreement to promote Belt and Road cooperation, revitalizing their commitment under the China-proposed Belt and Road Initiative (BRI). Trade between Nepal and China has surged dramatically over the past decade. China provides zero-tariff access to 100 percent of Nepali goods, which has opened new markets for Nepal's exports. 

Beyond infrastructure and trade, education and cultural diplomacy have been key pillars in sustaining the bilateral relationship. Since the 1960s, China has sponsored thousands of Nepalese students in medicine, engineering, geology and other fields. The establishment of Confucius Institutes in Nepal has expanded Putonghua language education. Such people-to-people connectivity not only nurtures goodwill but builds Nepal's human capital, empowering its workforce to independently manage complex infrastructure and technology projects.

The relationship's longevity also owes much to its ability to adapt and respond to challenges, including natural disasters. For example, this year also marks the 10th anniversary of the deadly 7.8 magnitude earthquake that occurred in Nepal. At that time, China immediately extended a helping hand by sending a rescue operation team to Nepal. 

At its core, the enduring China-Nepal relationship is driven by strategic pragmatism and mutual respect. Nepal pursues a balanced foreign policy that safeguards its sovereignty while leveraging opportunities from both China and India. On the other hand, China respects Nepal's neutrality and supports its development goals through non-interference and infrastructure diplomacy.

Looking ahead, Nepal and China are working toward a shared vision grounded in connectivity, sustainability and strategic balance. For Nepal, this includes transforming into a transit hub by improving access to Chinese inland and maritime ports, boosting foreign direct investment over loans and aid, and expanding digital and tourism cooperation. Enhancing vocational training, diversifying exports and promoting renewable energy are also key pillars. For China, the partnership offers greater access to South Asian markets, strengthened supply chains through China's Xizang Autonomous Region, and stable, trusted ties with a strategically located neighbor.

By focusing on inclusive, transparent and climate-conscious development, Nepal and China can forge a mutually beneficial partnership. This approach not only supports Nepal's development ambitions and sovereignty but also reinforces China's role as a reliable partner in regional connectivity and environmental resilience.

As with the BRI and other Chinese initiatives, I also propose that Nepal welcomes the Chinese proposal to create a global artificial intelligence cooperation organization, with its headquarters in Shanghai. Nepal can benefit from this initiative and ultimately absorb the emerging technology.

The author is a professor from Tribhuvan University, Nepal. opinion@globaltimes.com.cn