India’s trade deficit with China declines by over 20% to $ 44 billion in 2020-21

India’s trade deficit with China has declined from $ 53.57 billion in 2018-19 to $ 44.02 billion in 2020-21, a 21 per cent decline over previous year, Minister of State for Commerce and Industry Anupriya Patel said in the parliament.

Exports to China had increased to $ 21.19 billion in 2020-21 from $ 16.61 billion in 2019-20, Patel said in a written reply to the Rajya Sabha. Exports were $ 16.75 billion in 2018-19. Imports from China during 2018-19, 2019-20 and 2020-21 were worth $ 70.32 billion, $ 65.26 billion and $ 65.21 billion, respectively.

In a separate reply, she said the decline in India’s export of automobiles, including cars, is largely due to global economic slowdown and supply chain disruptions due to Covid-19 pandemic.

“With a view to create a conducive manufacturing ecosystem and to enable integration with global supply chains, the Union Cabinet on 11th November, 2020 has given approval to introduce the Production-Linked Incentive (PLI) Scheme for Automobiles and Auto components, with a financial outlay of Rs 57,042 crore over a five-year period, to make the Indian Automotive Industry more competitive,” she added.

Leave a Reply

Your email address will not be published. Required fields are marked *