India’s imports from China soar to $80 billion in first half of 2026, exports up 37%
India's trade deficit with China has reached record levels in the first half of 2026, driven by a 21.8% surge in imports. While Indian exports to China also grew, officials remain concerned about the reliance on Chinese finished goods and the limited value-added nature of Indian exports.
Why it matters
The widening trade gap highlights ongoing structural challenges in India-China economic relations and India's manufacturing dependency.
India’s imports from China rose 21.8% in the first half of 2026 to a record $79.41 billion, according to data released on Tuesday (July 14, 2026) by China’s General Administration of Customs.
Two-way bilateral trade was up to $91.72 billion after six months, a 23.6% rise from last year, and on track to surpass the record $155.62 billion trade figure from 2025, when China was again India’s biggest trade partner in goods.
While the trade deficit reached $67.1 billion after the first half of the year — also on track to exceed last year’s record $116.12 billion figure — India’s exports to China have also registered strong growth, up by 37.2% to $12.31 billion.
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