China's In-Roads, Aug. 11 -- Nepal's return to full-fledged trade and economic engagement with China has taken on a pattern not unlike Nepal's trade with India; skewed in favour of the larger neighbour. At the same time, Nepal's trade with China is also entwined with uncertainty stemming from transboundary rivers and connectivity infrastructure. As Kathmandu pursues diversification on the economic front and multi-alignment on the diplomatic front, it is faced with managing a rapidly evolving equilibrium with trade-offs to consider and navigate.

*The insights presented here draw from the author's recent research visit to Nepal.

The nearly 150 trucks hauling goods everyday between Nepal and China at the Rasuwagadhi-Kerung border signalled...