New Delhi, Aug. 21 -- Pushed by escalating trade tensions with Washington and with its relations with Beijing on the mend, New Delhi is warming up to a deeper embrace of the East by signalling a potential return to an eastern trade bloc that it had walked out of nearly five years ago.

According to two senior government officials aware of the matter, India is weighing the possibility of rejoining the Regional Comprehensive Economic Partnership (RCEP), a trade group of 15 countries. India had left the group in November 2019 just before the pact was signed, citing concerns over market access, widening trade deficits, and risks to farmers, domestic manufacturing, and small businesses.

According to one of the officials cited above, internal ...