India-China trade deficit rises to Rs. 7,000 crore in June 2018

In June 2018, India and China traded $5.6 billion and $2.3 billion respectively in goods, services, investment and commodities.

The trade deficit in June was higher than the trade deficit from the previous June in the same month in 2018.

The trade deficit rose to $7,000 billion in June from $4,800 billion in May 2018.

India is the biggest importer of Chinese manufactured goods.

In a statement to NDTV, the Ministry of Commerce said, “As per the Ministry’s data, the trade surplus in June of $7.2 billion was higher compared to the previous month of $4.8 billion in the first half of 2018.”

The surplus for June 2018 was also higher than that of May 2018 when it stood at $3.8 bn, which is the highest surplus in a calendar year.

According to the Ministry, this was due to the favourable conditions for exports to China in June.

“The surplus was $2 billion higher compared with the same period of 2017, which was the lowest surplus for the first six months of the year,” it said.

India is also the largest importer and exporter of Japanese manufactured goods and Chinese manufactured exports to India.

China is India’s second biggest trading partner after Japan, accounting for 22% of the country’s GDP.

It has been a frequent source of friction between the two countries, especially over issues such as the border dispute with Bhutan.