USA CHINA TRADE WAR AND IT'S EFFECT ON INDIA WITH EXPORT IMPORT NEWS LETTER
1. Export made to OFAC countries
and e-BRC not issued by bank. Exporter can submit self-declaration with payment
received in INR to DGFT
2. We know every one is very
curious to know about Trade ward between USA and China, particularly it’s
effect on India’s Trade. So, let us first analyse this.
China’s world export:
|
No.
|
Country
|
%
|
|
1
|
United
States of America
|
19.2
|
|
2
|
Hong Kong, China
|
12.1
|
|
3
|
Japan
|
5.9
|
|
4
|
Korea, Republic of
|
4.4
|
|
5
|
Viet Nam
|
3.4
|
|
6
|
Germany
|
3.1
|
|
7
|
India
|
3.1
|
|
8
|
Netherlands
|
2.9
|
|
9
|
United Kingdom
|
2.3
|
|
10
|
Singapore
|
2
|
China’s import from World:
|
No.
|
Country
|
%
|
|
1
|
Korea, Republic of
|
9.6
|
|
2
|
Japan
|
8.4
|
|
3
|
Taipei, Chinese
|
8.3
|
|
4
|
United
States of America
|
7.3
|
|
5
|
China
|
6.9
|
|
6
|
Germany
|
5
|
|
7
|
Australia
|
4.9
|
|
8
|
Brazil
|
3.6
|
|
9
|
Viet Nam
|
3
|
|
10
|
Malaysia
|
3
|
|
11
|
Russian Federation
|
2.8
|
|
12
|
Saudi Arabia
|
2.1
|
|
13
|
Thailand
|
2.1
|
|
14
|
Switzerland
|
1.8
|
|
15
|
Indonesia
|
1.6
|
|
16
|
Singapore
|
1.6
|
|
17
|
France
|
1.5
|
|
18
|
Canada
|
1.3
|
|
19
|
South Africa
|
1.3
|
|
20
|
Chile
|
1.3
|
|
21
|
Angola
|
1.2
|
|
22
|
United Kingdom
|
1.1
|
|
23
|
Iraq
|
1.1
|
|
24
|
Italy
|
1
|
|
25
|
Iran, Islamic Republic of
|
1
|
|
26
|
Philippines
|
1
|
|
27
|
India
|
0.9
|
CHINA VIS USA:
19.20 % is China’s
export to USA
7.30 % where as they import from USA is
only
11.90 % is deficit
CHINA VIS INDIA:
3.10 % China’s export to
India
0.90 % China’s import from India
2.20 % deficit
China’s has deficit will
all the countries in the world.
Therefore, if USA China Trade
war starts China will be more sufferer. For USA next is India to buy from. But again,
see below table:
India’s Export:
|
No.
|
Country
|
%
|
|
1
|
U.S.A.
|
16
|
|
2
|
United Arab Emirates
|
9
|
|
3
|
China
|
5.1
|
|
4
|
Hong Kong, China
|
4.1
|
|
5
|
Singapore
|
3.2
|
|
6
|
United Kingdom
|
3
|
|
7
|
Germany
|
2.8
|
|
8
|
Bangladesh
|
2.7
|
|
9
|
Netherlands
|
2.7
|
|
10
|
Nepal
|
2.3
|
|
11
|
Belgium
|
2.1
|
India’s Import:
|
No.
|
Country
|
%
|
|
1
|
China
|
14.5
|
|
2
|
United States
of America
|
6.4
|
|
3
|
Saudi Arabia
|
5.6
|
|
4
|
United Arab Emirates
|
5.3
|
|
5
|
Iraq
|
4.5
|
|
6
|
Switzerland
|
3.6
|
|
7
|
Korea, Republic of
|
3.2
|
|
8
|
Indonesia
|
3.2
|
|
9
|
Hong Kong, China
|
3.1
|
|
10
|
Iran, Islamic Republic of
|
2.9
|
|
11
|
Singapore
|
2.8
|
So, India’s export on first
ranker is USA i.e. 16%, but India import is more from China at 14.50%
This analysis proves
that foreign companies will move from China to other countries like wise and
India ‘may’ also benefit from the same. I said ‘may’ benefit, reason is that
they Trade war between USA and India may also take place, if so, then latter it
may go reverse too. Because, then USA have so many other countries to buy from.
Let’s take an example,
USA wants India to reduce duty on their bike import from USA. But India is also
a manufacturer of bikes. So, they will think before doing so. But at the same
time other countries may not put duties on import of bikes from USA, because they
are not manufacturing bikes. For example, Vietnam.
Therefore, time to wait
and watch. India has to see two phase this month, one election declaration and
other USA India Trade war, because USA too is waiting for election results.
Let’s continue with EXIM
- NEWS letter.
6.
A very important: India’s Foreign
Trade: April 2019
