Using $118.4 billion in two-way trade in FY 2023–24, China surpassed the US to become India’s greatest trading partner, according to data from the economic think tank GTRI. In 2023–24, the value of bilateral commerce between the US and India was $118.3 billion. Throughout 2021–2022 and 2022–2023 Washington was New Delhi’s principal trading partner.
The research states that during the most recent fiscal year, India’s exports to China increased by 8.7% to $16.67 billion. The primary industries with robust growth in exports to that nation include iron ore, plastic, linoleum, spices, cotton yarn/fabrics/madeups, handloom products, fruits and vegetables, and spices.
The adjacent nation’s imports reached $101.7 billion, up 3.24 percent.
According to the research, imports fell by around 20% to $40.8 billion, while exports to the US decreased by 1.32 percent to $77.5 billion in 2023–24 from $78.54 billion in 2022–23.
According to the Global Trade Research Initiative (GTRI), India’s trade dynamics with its top 15 trading partners experienced major changes between fiscal year 2019 and FY2024. These changes affected both exports and imports, as well as the position of trade surplus or deficit across numerous sectors.
It further stated that whereas China’s imports increased by 44.7%, from USD 70.32 billion to USD 101.75 billion, its exports decreased marginally by 0.6%, from USD 16.75 billion to USD 16.66 billion.
“This growth in imports led to an expanding trade deficit, rising from USD 53.57 billion in FY2019 to USD 85.09 billion in FY2024, highlighting concerns over stagnant exports amidst rising imports,” Ajay Srivastava, founder of GTRI, stated.
According to the study, trade with the US increased, with exports rising dramatically by 47.9% from $52.41 billion to $77.52 billion.
The United States’ imports increased by 14.7 percent as well, from $35.55 billion to $40.78 billion. India’s trade surplus increased as a result, going from $16.86 billion to $36.74 billion.
Data from the Commerce Ministry shows that China was India’s principal commercial partner in 2020–21 as well as in 2013–14, 2017–18, and 2020–18. The UAE was the nation’s top trading partner before to China. In both 2022–2023 and 2022–2023, the US constituted the largest partner.
With USD 83.6 billion, the UAE ranked as India’s third-largest trading partner in 2023–2024. Singapore ($35.6 billion), Saudi Arabia ($43.4 billion), and Russia ($65.7 billion) came next.
