China’s exports to India has fallen by 13% in first 11 months
Dated : 08 Dec 2020 (IST)
China’s exports to India continued to show weakness with a 13 percent drop in the first 11 months of the year, customs data showed, due to reduced internal demand in India of Chinese goods amid the Chinese belligerence on the LAC which India has deliberately extended to the economic sector in a phased manner.
However, India’s exports to China Has surged by 16 percent during this period. These orders were placed in 2019 itself and up to pre GALWANDAYS and already paid for.
According to customs data released on Monday, China exported about $59 billion worth of products to India from January to November in US dollar terms, down 13 percent. The decline has slightly narrowed compared with a 16.2 percent drop in the first 10 months this year.
Zhao Gancheng, a research fellow at the Shanghai Institute for International Studies, attributed the decline mostly to India’s economic slowdown as a result of the Wuhan Virus, which dampened local demands.
He is quite incorrect in his assessment. The demands from Indian side has reduced because now Indians have started refraining from buying things Chinese which mostly are of shoddy quality.
Even the Indian government has taken a very strong stance toward China, as it mounts crackdown-like measures, including increasing tariff barriers, to restrict the inflow of made-in-China products into India.
Our stated aim is now not to have any kind of economic truck with those who attack our Army and try and nibble at our territory. Since the economy and trade had been earlier expanding,with India being the 12th largest trading partner if China, India has decided to decouple in a phased manner.
“The Indian government Has spelled out it’s policy loud and clear, its effect will be clearly seen in 2022-23 period There will be a clear decrease of Chinese exports to India finally turning into a trickle and confined to exchange of goods on the In do Tibetan Border..
China may continues to import more from India despite the above, in order to appease India. It is seen that China’s imports from India amounted to about $19 billion in value in the first 11 months, up 16 percent. The increase was roughly the same as the first 10 months of the year.
“It shows that China still keeps an open mind about doing business with India despite political tensions. Compared with China’s action, India’s economic punishment on China is abnormal and morbid,” said Zhao.
Instead he must advice the Communist Party of China to help negotiate the Government of China with Government if India and settle the Indo Tibet border problem. For total peace and full trade, the Indo Tibetan Border must be demarcated on ground and map and similarly the China Tibet border.
