India\u2019s imports from China have risen to $5.6 billion in July, climbing for the second straight month, although imports are still down by 24% from 2019.<\/p>\n
India\u2019s imports from China, its largest trading partner in goods, had fallen to a record low of $3.2 billion both in the months of April and May, coinciding with India\u2019s lockdown on account of the pandemic.<\/p>\n
Imports subsequently rose to $4.8 billion in June and further to $5.6 billion in July, almost back to the pre-lockdown level of $5.8 billion reported in March, in part, economists said, driven by Chinese exports of medical supplies.<\/p>\n
After seven months of this year, India\u2019s imports from China reached $32.2 billion, down by 24.7%year-on-year, largely because of the record slump in April and May, according to figures from China\u2019s General Administration of Customs released on August 7.<\/p>\n
Two-way trade is $43.37 billion and continues to be heavily tilted in China\u2019s favour, with India\u2019s exports, which are up 6.7% year-on-year, accounting for $11 billion.<\/p>\n
The slump in China\u2019s exports to India contrasts with its recovery overall. The GAC\u2019s figures showed China\u2019s exports overall rose 7.2% in July, beating most estimates, while imports fell 1.4% year-on-year. China posted a trade surplus of $62.33 billion, surpassing the $42 billion estimated given by economists to Reuters.<\/p>\n
A jump in export of medical supplies was seen by economists as one reason. \u201cMuch of the recent resilience of exports has been due to shipments of masks, medical products and work-from-home equipment,\u201d Martin Rasmussen, China economist at Capital Economics, was quoted as saying by Reuters, adding that China\u2019s \u201cstimulus-led recovery\u201d would support a rebound in imports in coming months. <\/p>\n<\/div>\n