India imports record $131.63B from China as dependence deepens
India just set a new record by importing $131.63 billion worth of goods from China in FY 2025-26, making up nearly 17% of all its merchandise imports.
Even with efforts like Make in India and the PLI scheme to boost local manufacturing, China remained India's largest import partner, fueling India's growing dependence.
China supplies battery metals and equipment
These imports are key materials, think lithium, cobalt, nickel, graphite, and rare earth elements, that power industries like clean energy, electric vehicles, electronics, and semiconductors.
Plus, China supplies lots of intermediate goods and equipment that help drive sectors such as pharma, fertilizers, infrastructure projects, and advanced manufacturing.
India records $112.16B deficit with China
India's trade deficit with China reached a record $112.16 billion in FY 2025-26 (the 2025-26 fiscal year), a big jump from previous years.
The Commerce Ministry says this spike is tied to rapid industrial growth and urbanization here at home; India's supply chains now rely heavily on these critical imports to keep moving forward.