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International Relations

India’s Growing Dependence on Chinese Imports

  • India’s imports from China increased to more over $101 billion in fiscal year 2023-24, up significantly from around $70 billion in 2018-19.
  • The share of China’s industrial products imports to India has increased from 21% to 30% over the last 15 years, according to a Global Trade Research Initiative (GTRI) analysis. 

India’s Imports: GTRI Study

  • According to the GTRI report, imports from China increased 2.3 times faster than India’s overall imports during the last 15 years.
  • Contrary to popular assumption, China has emerged as the leading supplier in eight key industrial sectors, including machinery, chemicals, pharmaceuticals, and textiles, among others.
  • India’s exports are static, valued at around $16 billion each year.
  • Over a six-year period from 2018-2019 to 2023-24, India’s cumulative trade imbalance with China exceeded $387 billion, raising concerns among officials. 

China’s Share of India’s Imports:

  • In 2023-24, China accounted for 15% of India’s total imports, with $101.8 billion out of $677.2 billion. 
  • Sector-wise Contributions:
  1. Electronics, telecommunications, and electrical products: China contributed 38.4% from April to January 2023-24.
  2. garment: Nearly 42% of India’s textile and garment imports were from China.
  3. Machinery Sector: China contributed for 39.6% of India’s total imports.
  4. China has a 29.2% stake in the chemical and pharmaceutical sector.
  5. Plastics and Related products: China supplied products worth $4.8 billion, accounting for 25.8% of total imports in this industry. 
https://www.thehindu.com/news/national/up-23-times-in-15-years-indias-chinese-import-bill-to-rise-further/article68118302.ece#:~:text=Getty%20Images%2FiStockphoto-,India's%20imports%20from%20China%20crossed%20%24101%20billion%20in%202023%2D24,imports%20will%20rise%20sharply%20inSource: 

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