Ms Sitharaman had a brief conversation with Chinese soldiers during her maiden visit to the Nathu La border post in Sikkim on Sunday and was even seen teaching them how to say 'Namaste'.
"The Sikkim sector of the China-India boundary has been delimited by the historical treaty of 1890, and the Nathu La pass has been the best witness testifying to this fact," Chinese Foreign Ministry spokesperson Hua Chunying told a media briefing while reacting to a question on Ms Sitharaman's visit.
"The Chinese side is willing to jointly uphold peace and tranquillity in the border areas with the Indian side on the basis of observing historical treaties and the relevant agreements and accords between the two sides," Ms Hua said.
Beijing often referred to the 1890 Britain-China treaty during the Doklam standoff stating that it has defined the Sikkim section of the boundary with Tibet, therefore the border in that area has been settled.
State-run English news channel CGTN carried snippets of her video with a caption "Indian defence minister greets Chinese border soldiers".
"The minister experienced an unexpected wave of goodwill from Chinese soldiers when she visited troops stationed on the frontier between the countries", the Post report said.
Her interaction with the troops of the PLA also sparked positive response among the Chinese netizens on popular social media websites.
"The greeting sent a goodwill signal towards mending bilateral ties and putting relations back on track toward normality", Qian Feng, an expert at the Chinese Association for South Asian Studies, told the state-run Global Times which carried a separate story on Sitharaman's Sikkim visit with a caption "Indian Minister waves at PLA".
The Indian government should show more determination for improving ties as Prime Minister Narendra Modi "enjoys advantages towards achieving that goal", it quoted Qian a saying.