Chinese premier Wen Jiabao in India on a three-day trip

New Delhi: Chinese premier Wen Jiabao arrived in New Delhi on Wednesday afternoon on a three-day trip which is claimed to be focussed on building trust between two Asian powers who have been building increasingly close economic ties even as they compete for regional influence.

Both sides are expected to discuss a lingering border dispute, growing trade imbalance and other irritants such as Jammu & Kashmir, where China is perceived to be playing a meddling role designed to irritate India.

The Chinese premier is scheduled to hold talks with his Indian counterpart, Manmohan Singh on Thursday. The talks are expected to delve on tensions and rivalries that have characterised bilateral relations between the two nations.

"China and India are partners for cooperation and not rivals in competition. There is enough space in the world for the development of both China and India and there are enough areas for us to cooperate," Wen said addressing industry leaders of the two countries at a meeting organised by the main chambers of commerce and business here.

About China and India being described as economic competitors and being compared to a dragon and an elephant respectively, Wen said, "I don't agree with such a view and I don't think business people agree either."

He said both countries stand to gain from economic cooperation keeping in mind that they had a combined population of 2.5 billion, accounting for two-fifths of the world's population, "We are both in process of rapid industrialisation and urbanisation accompanied by fast and sustainable economic growth."