India-China Trade Relations
India and China share one of the world's most asymmetric major bilateral trade relationships, characterized by significant Indian import dependence on Chinese manufactured goods and a persistently large trade deficit.
- India's trade deficit with China reached a record $99.2 billion in fiscal year 2024–25, up from $44 billion in FY2020–21 — more than doubling in four years.
- Total bilateral trade in 2024–25 was approximately $127.7 billion; China was India's second-largest trading partner overall.
- India imports primarily machinery, electronics, active pharmaceutical ingredients (APIs), chemicals, and lithium-ion batteries from China.
- India exports iron ore, specialty chemicals, and organic compounds to China — commodities rather than value-added goods.
- Despite military tensions at the Line of Actual Control (LAC) post-2020 Galwan clashes, trade has continued to grow, illustrating the structural dependency.
● Tracked since March 03, 2026 · last seen June 15, 2026 · updates as the daily brief publishes
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