Since both the US and China have traditionally been allies of Pakistan, any joint US-China call for better relations between the two major countries in South Asia would likely irk New Delhi.
Given that the current Minister of External Affairs, S. M. Krishna, had a long political career representing Karnataka State, with its high-tech capital of Bangalore, he is associated the the confident and fast-growing new India and so might especially resent any hint of Chinese intervention in South Asia.
Did I see something to the effect that India is cozying up to Iran? Since the West is at odds with Iran over the nuclear program, India sees an opportunity, and is offering to assist Iran with satellite launching.
Thanks for flagging this. Minor nitpick: Karnataka is a state, not a 'province.'
India has states, not provinces.