China emerges as India’s largest trading partner in FY24

Despite the intricacies of their geopolitical interactions and intermittent diplomatic tensions, the trade and economic ties between India and China have seen a remarkable growth in recent years. Recently in a report related to the bilateral economic ties between the two nations being published by the economic think tank GTRI that the China has emerged as the largest trading partner of India with a total two-way commerce of $118.4 billion ,overtaking US in the fiscal year 2023-24.
India's exports to China rose by 8.7 percent to $16.67 billion, while imports increased by 3.24 percent to $101.7 billion. The main sectors which recorded healthy growth in exports to that country include iron ore, cotton yarn/fabrics/madeups, handloom, spices, fruits and vegetables, plastic and linoleum. Conversely, exports to the US dipped slightly to $77.5 billion, and imports decreased by about 20 percent to $40.8 billion, according to estimates. The bilateral trade between India and the US stood at $118.3 billion in 2023-24. Washington was the top trading partner of New Delhi during 2021-22 and 2022-23.
China was India's top trading partner from 2013-14 till 2017-18 and also in 2020-21. Before China, the UAE was the country's largest trading partner. In 2023-24, the UAE with $83.6 billion, was the third largest trading partner of India. It was followed by Russia ($65.7 billion), Saudi Arabia ($43.4 billion), and Singapore ($35.6 billion), stated report.Amidst the complexities of their bilateral dynamics the resilience of India-China trade relation shines as a beacon of optimism for fostering sustained economic collaboration and prosperity within the region.

(Ira Singh, Asstt Editor, Gandhinagar)