BEIJING — The escalating conflict between India and Pakistan may be giving the world its first proper look at how Chinese-made military technology performs against Western-built systems — and investors are already taking notice, according to a report from CNN.
Shares in AVIC Chengdu Aircraft, the Chinese manufacturer of the J-10C fighter jet, surged 40% this week after Pakistan claimed it shot down several Indian warplanes — including French-built Rafales — using those very jets during an intense aerial confrontation on Wednesday.
India has not responded to Pakistan’s claims or acknowledged any aircraft losses. A spokesperson for China’s foreign ministry stated they were unaware of any involvement by Chinese-made aircraft.
Still, as Pakistan’s top defense supplier, China is likely watching closely. For Beijing, this may be a critical opportunity to evaluate the effectiveness of its weapons in real combat — something it hasn’t experienced in over four decades.
Under President Xi Jinping, China has aggressively modernized its military, pouring resources into advanced weapons systems, radar, and AI-enabled targeting technologies. Much of that effort has extended to Pakistan, often described as China’s “ironclad” ally.
According to data from the Stockholm International Peace Research Institute (SIPRI), China accounted for 81% of Pakistan’s arms imports over the past five years. This includes not only fighter jets but also missile systems, radars, and air defense technologies — many of which were co-developed with Chinese firms or built under Chinese guidance.
This level of cooperation means that any India-Pakistan confrontation doubles as a live test environment for Beijing’s defense industry.
Military analysts say joint exercises between the two countries have grown increasingly complex, with both sides engaging in simulated combat scenarios, air-sea coordination, and crew exchange programs. The integration of Chinese systems into Pakistan’s forces has shifted regional military dynamics in ways that could challenge Western influence.
This potential shift comes amid growing India-Pakistan tensions triggered by a deadly attack on Indian tourists in Kashmir. India responded with missile strikes on targets it identified as terrorist infrastructure within both Pakistan and Pakistan-administered Kashmir.
Reports suggest India used a mix of French Rafales and Russian Su-30 fighters in the assault. In response, Pakistan claimed that its air force, using Chinese-made J-10C jets, downed five Indian aircraft — including three Rafales — in a massive aerial engagement involving more than 100 aircraft across a 100-mile-wide zone.
While India hasn’t confirmed the losses, a source from the French Defense Ministry acknowledged the possible downing of at least one Rafale. If verified, this would mark a significant moment for China’s arms industry, demonstrating that its equipment is competitive with some of the West’s most advanced systems.
Shares of AVIC Chengdu Aircraft continued to climb, gaining another 20% on Thursday. The J-10C, a 4.5-generation multi-role fighter, represents one of China’s most capable export models, delivered to Pakistan starting in 2022. Alongside the co-developed JF-17 Block III, it forms the backbone of Pakistan’s modern air force.
Although Pakistan also operates older U.S.-made F-16s, those aircraft reportedly still use early 2000s configurations. By contrast, China’s newer jets feature modern avionics and AESA radars, giving them an edge in long-range air combat scenarios.
Experts say Pakistan’s use of PL-15 missiles — long-range, beyond-visual-range air-to-air missiles — may have played a decisive role in the confrontation. While the export version has a reduced range, it still surpasses many comparable Western systems available to non-NATO countries.
Retired Chinese Colonel Zhou Bo commented that if J-10Cs were indeed responsible for downing Rafales, it would be a massive morale boost for China’s defense community and a potential marketing bonanza for Chinese arms exports globally.
The global arms market, however, remains dominated by the U.S., which accounted for 43% of worldwide arms exports between 2020 and 2024. France and Russia follow behind, with China currently in fourth place, and nearly two-thirds of its arms sales going to Pakistan alone.
Defense analysts note that the potential success of Chinese arms in Pakistan’s hands could make Beijing a more appealing partner for countries unable to access Western technology, particularly in the Middle East and Africa.
Still, some analysts caution against overinterpreting the results. India’s potential losses may stem more from poor planning or strategic missteps than China’s overwhelming technological superiority. Rules of engagement, tactical errors, or misjudging the range of Pakistani missiles may have left Indian aircraft exposed.
Moreover, India’s successful missile strikes on Pakistani territory suggest that not all Chinese-made systems, including air defenses like the HQ-9B, performed flawlessly.
Ultimately, while Pakistan’s claims remain unverified, this standoff has become more than a regional skirmish. It has turned into a global showcase for China’s military capabilities, and a sign of how great-power rivalries are increasingly playing out through proxy conflicts.
