India’s Exports to China Jump 20% in First Four Months of FY26

New Delhi: India’s merchandise exports to China rose 20 per cent year-on-year in the first four months of FY26, reaching $5.76 billion (?50,112 crore), according to official trade data.

Outbound shipments to China grew in each of the four months compared to last year, reflecting a steady upward momentum despite global trade challenges. The highest monthly export figure was recorded in May 2025 at $1.63 billion, up from $1.32 billion in the same month of FY25.

In April, exports climbed to $1.39 billion from $1.25 billion a year earlier, while June saw a 17 per cent increase to $1.38 billion. July shipments touched $1.35 billion, compared to $1.06 billion in July 2024.

The growth was driven by strong demand for petroleum products, which nearly doubled to $883 million, and electronic goods, which surged over threefold to $521 million. Shipments of organic and inorganic chemicals rose 16.3 per cent to $335.1 million, while gems and jewellery exports jumped 72.7 per cent.

India continues to face a wide trade deficit with China, which stood at $99.2 billion in FY25. Key imports from China include pharmaceuticals, semiconductors, machinery, electronics, plastics, and other industrial goods.

The sustained rise in exports underscores India’s growing competitiveness in select sectors and hints at a gradual rebalancing in trade ties between the two Asian economies.

Earlier this month, External Affairs Minister S. Jaishankar and Chinese Foreign Minister Wang Yi held extensive talks in New Delhi, covering bilateral, regional, and global issues. The Ministry of External Affairs described the discussions as “positive, constructive, and forward-looking.”

With inputs from IANS