Core Insights - In July 2025, China exported approximately $1 billion worth of computer chips to India, along with billions in phones and components for electronics assembly [1][13] - China's exports to India are on track to exceed last year's record, with total shipments nearly matching the total for 2021 [13] - India's trade deficit with China reached a record $99.21 billion in 2024-25, with imports totaling $113.46 billion and exports only $14.25 billion [5][12] Trade Dynamics - Over the past decade, India's cumulative imports from China increased from $60.41 billion in 2014-15 to $113.46 billion in 2024-25, while exports remained low and volatile, fluctuating between $9 billion and $21 billion [5][12] - India's exports have primarily consisted of raw materials, while Chinese exports have increasingly dominated the Indian market with electronics, machinery, and other high-tech products [6][11] Global Trade Shifts - The surge in Chinese exports comes amid tariffs that limited China's access to the US market, prompting Chinese manufacturers to seek alternative markets, including India, Southeast Asia, and Africa [7][9] - India's imports from China hit an all-time high in August 2025, reflecting a broader global trade realignment [8][11] - Indian authorities have increased anti-dumping scrutiny, filing 50 applications for investigations into goods from China and Vietnam due to concerns over cheap imports flooding domestic markets [10][11]