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India's $100 Billion Trade Deficit with China: Why No Tariffs Imposed?
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India's China Trade Dilemma: Why No Tariffs Despite $100 Billion Deficit?
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News18
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22-02-2026, 10:55
India's China Trade Dilemma: Why No Tariffs Despite $100 Billion Deficit?
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India faces a projected $100 billion trade deficit with China in FY2025-26, yet avoids US-style tariffs.
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India's strategy is 'surgical' and 'calibrated decoupling', focusing on gradual dependence reduction.
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Heavy tariffs would harm India's 'pharmacy of the world' status by increasing API costs and impacting 'Make in India' initiatives.
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Tariffs would lead to inflation, raising prices of essential goods and posing political risks for the government.
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India uses WTO-compliant Anti-Dumping Duties and a 'China Plus One' strategy with PLI schemes and non-tariff barriers to boost local manufacturing.
Read Full Article on News18 in Hindi
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