Surge in Chinese imports
Imports from China have jumped in the past five years despite several steps taken by the government to discourage imports from Beijing,the government informed Parliament.Annual imports from China rose to $115.4 billion in 2021-22 from $89.7 billion in 2017-18, union minister of state for commerce and industry Anupriya Patel informed the Lok Sabha in a written reply.
Analysts said the country is dependent on China for several raw materials and it is likely to increase further as the economic growth accelerates in the coming years.On whether the government is taking measures to reduce dependence on imports from China, especially since the mid-2020 Galwan clash, the minister replied the Centre has launched Production Linked Incentive (PLI) schemes in 14 sectors which will make Indian manufacturer globally competitive, attract investment in the areas of core competency and cutting-edge technology.
Meanwhile, India-China trade is on course to cross $100 billion for the second consecutive year as it has gone up to $67.08 billion in the first half of this year amid a big surge in Chinese imports.Imports have risen to $57.51 billion, up by 34.5 per cent from last year while Indian exports to China fell to $9.57 billion, a decline of 35.3 per cent compared with last year, according to the trade data released by China’s General Administration of Customs (GAC). The trade deficit at the half-year mark stood at $47.94 billion.