Press Esc to close
Tuesday 03 May 2016
News updated at 2:43 AM IST
Weather
Max: 36.6°C
Min : 24.4°C
In Bengaluru
Sunny day

India, China trade imbalance to grow: Chinese experts

Beijing, May 21, 2013, (IANS):

The trade imbalance between India and China may keep growing, experts here said with one of them noting that "India needs more Chinese manufactured products".

As Premier Li Keqiang visits India, his first overseas trip, China Daily spoke to experts who said the trade imbalance is likely to keep growing and the situation is hard to change.

"India's trade deficit with China is expanding. In the short term, that's hard to resolve. The imbalance is mainly because India has limited exports to China, while Chinese manufactured goods have a competitive advantage in the Indian market," Liu Xiaoxue, a researcher on South Asian studies at the Chinese Academy of Social Sciences, was quoted as saying.

Liu added that the slower growth pace in China in recent years, coupled with overcapacity in the steel and iron sectors and the government's tightening policies in the real estate sector, reduced demand for Indian raw materials, which account for the bulk of Indian exports to China.

Hu Shisheng, director of the Institute of South and Southeast Asian and Oceanian Studies at the China Institutes of Contemporary International Relations, agreed, saying: "The trade imbalance is rooted in India's trade structure."

"India's trade deficit with China will not be reversed in the foreseeable future. Any change depends on whether India can export products that meet the demand of the Chinese market," Hu said.

He pointed out that the trade deficit is likely to increase "because India needs more Chinese manufactured products, and China diversified its sources for imports of raw material".


Go to Top

Photo Gallery
Flames trail Danica Patrick's car after she crashed into Matt Kenseth...

Flames trail Danica Patrick's car after she crashed into Matt Kenseth...

A Hindu priest holds a traditional lamp as he performs evening prayers called Aarti...

A Hindu priest holds a traditional lamp as he performs evening prayers called Aarti...

A scene at a road during dust storm in Jaipur on Monday...

A scene at a road during dust storm in Jaipur on Monday...

A massive fire broke out in forest areas of Bathuni and Gambr of the Rajouri forest...

A massive fire broke out in forest areas of Bathuni and Gambr of the Rajouri forest...

Thunderstorm seen in the background of Amba Vilasa Palace and Chamaraja Circle, after dizling rain..

Thunderstorm seen in the background of Amba Vilasa Palace and Chamaraja Circle, after dizling rain..

Fishermen throwing a net to catch fish in river Ganga in Kolkata on Monday...

Fishermen throwing a net to catch fish in river Ganga in Kolkata on Monday...

Blue-tailed bee-eaters at Bura Chapori Wildlife Sanctuary in Nagaon...

Blue-tailed bee-eaters at Bura Chapori Wildlife Sanctuary in Nagaon...

A White Peafowl at its enclosure on a hot summer day at Zoo in Surat...

A White Peafowl at its enclosure on a hot summer day at Zoo in Surat...

Sadhus offer prayers while sitting inside circles of burning dried cow dung cakes...

Sadhus offer prayers while sitting inside circles of burning dried cow dung cakes...

Two White Bucks or Albino Black bucks at their enclosure on a hot summer day at Zoo....

Two White Bucks or Albino Black bucks at their enclosure on a hot summer day at Zoo....