China Says It’s Ready to Import More from India, Urges Equal Treatment for Chinese Firms
China has signaled its willingness to import more Indian goods in an effort to address the long-standing trade imbalance between the two nations. In a statement released during ongoing diplomatic and economic engagements, Beijing said it is open to expanding market access for Indian exports, especially in sectors like pharmaceuticals, agricultural products, and services.
The announcement comes amid rising Indian concerns over the ballooning trade deficit with China, which crossed $99 billion in 2023–24. While India has repeatedly raised the issue of limited Chinese access for Indian goods, especially in sectors where Indian products are globally competitive, China’s latest statement appears to be an attempt to reset the tone of economic relations.
China Demands ‘Non-Discriminatory’ Treatment for Its Firms
In return, China urged India to adopt a “non-discriminatory” stance towards Chinese companies, particularly in tech and infrastructure sectors where regulatory scrutiny has intensified. Beijing expressed concern over what it describes as “unjustified restrictions” on Chinese businesses operating in India and called for a “level playing field” for all foreign investors.
Since 2020, India has ramped up curbs on Chinese investments, banned several Chinese apps, and tightened FDI rules for bordering nations — citing national security and strategic concerns. Several Chinese firms in telecom, electronics, and fintech have faced regulatory challenges, investigations, and stalled projects.
Trade Tensions Remain Despite Diplomatic Talks
Despite multiple rounds of diplomatic dialogue, the trade relationship remains lopsided. China remains India’s largest import partner, supplying electronics, machinery, and chemicals, while India struggles to penetrate Chinese markets due to opaque standards, regulatory hurdles, and restrictions on pharma and IT products.
Indian authorities have stressed that any trade normalization must be accompanied by security assurances, especially amid continued border tensions in eastern Ladakh and other sensitive regions.
A Strategic Tug-of-War Beneath Economic Diplomacy
Experts view China’s recent openness as part of a broader effort to stabilize regional ties amid shifting global supply chains and geopolitical competition with the West. For India, however, the economic engagement is increasingly interwoven with strategic considerations, and any shift in market access will likely be judged alongside geopolitical signals.
India is also pursuing diversification of its trade partnerships under the “China+1” strategy, seeking deeper ties with Southeast Asia, the U.S., and Europe. Beijing’s request for non-discrimination is expected to face resistance unless accompanied by tangible steps to reduce the trade deficit and address India’s long-pending concerns.
