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India-China Trade May Surge Amid Global Shifts from Trump 2.0 Tariffs

India-China Trade May Surge Amid Global Shifts

India-China Trade May Surge

News: Donald Trump’s return to the White House has triggered a trade shock, with U.S. tariffs on Indian goods raised to 50%, threatening $90B in exports and straining ties.

In response, India is pivoting towards a multipolar strategy, deepening engagement with China.

PM Modi’s planned China visit on August 31, 2025, marks a thaw in relations post-Galwan, focusing on stabilizing borders, expanding trade, and leveraging BRICS+ platforms for rupee-yuan trade.

Opportunities include joint ventures in electronics, EVs, and renewables, logistics integration via BRI corridors, and growth in pharma, agri, and semiconductors.

While India aims to cut logistics costs to 8–10% and diversify supply chains, risks of overdependence on China and unresolved border tensions remain.

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