Tensions between India and China have flared anew with the Indian Army saying it thwarted an advance by Chinese troops along the banks of a lake that straddles both countries.

The confrontation, according to the Indian Army, took place on the southern bank of Pangong Tso lake, which stretches from Tibet to Ladakh, an area which has been a major source of current friction on the border.

A source with knowledge of the matter on the Indian side said Chinese troops were moving to capture a higher vantage point to gain a dominant position on the southern bank of the 135 km lake.

The Indian Army, in an official statement, blamed the Chinese side for raising tensions and carrying out "provocative military movements to change the status quo".

But a spokesman for China's People's Liberation Army Western Theatre Command blamed India for the incursion, saying: "We solemnly request the Indian side to immediately withdraw its illegally crossing troops, strictly control and restrain the front-line troops, earnestly abide by its commitments, and avoid further escalation of the situation."