PTI reported that the economic slowdown India-China trade has declined by 37% to less than USD 3 billion in January.
However, the trade between 2 of the world's fastest growing economies was USD 51.78 billion in the year 2008, up by 34% from USD 38.7 billion a year ago. The trade balance in favor of China was over USD 10 billion in 2008.
Mr Zhang Yan Chinese Ambassador to India said that "China-India bilateral trade over January 2009 fell by 37% over the same period 2008. So, in the first month of this year China India trade is less than USD 3 billion, adding normally it should be more than USD 4 billion."
Mr Zhang said that “The fall in the trade between the 2 nations in January could be because of less import of steel products by India and lower imports of iron ore by China. I think India imported less steel products. Last few months we imported less iron ore.”
India's major exports to China include iron ore, cotton and organic chemicals, while imports include steel and steel products and electrical machines. India's total exports dipped by 15.9% to USD 12.38 billion in January and imports by 18.2% to USD 18.45 billion.
Source : Steelguru.com