India’s exports to BRICS jump as China drives growth

Shipments to the four core group members rose sharply in April-August as New Delhi faces renewed trade pressure from Washington India’s exports to its four core BRICS partners jumped 34% in the first five months of the current financial year, with engineering and electronics exports to China driving the growth as New Delhi expands trade across major emerging markets.

Shipments to China, Russia, Brazil, and South Africa rose to $19.9 billion in the April-August period, from $14.9 billion a year ago, according to Indian Commerce Ministry data.

Indian exports to China rose 39% to $9.6 billion, with industry executives linking some of the increase to demand from the global build-out of artificial intelligence and data centers.

“It shows that Indian manufacturing is beginning to win credibility in one of the world’s most competitive global value chains,” chairman of the Indian Cellular and Electronics Association Pankaj Mohindroo told the Business Standard newspaper.

India and China have been rapidly normalizing bilateral ties, which had largely frozen following a border skirmish in 2020.

South Africa recorded the fastest growth rate, with shipments climbing 58%, while exports to Brazil and Russia increased 13% and 11%, respectively.

Shipments to Brazil stood at $3.46 billion, and those to Russia at $2.04 billion.

India-Russia trade rose to $79 billion last year, Russian Economic Development Minister Maksim Reshetnikov told RT on the sidelines of the BRICS summit in New Delhi.

The two countries have a trade target of $100 billion to be achieved by 2030.

India still runs large trade deficits with Russia and China.

India, the second largest buyer of Russian crude, imported about $40.8 billion of Russian oil in the year ended March.

New Delhi imported about $131.6 billion worth of goods from China in the same period.

Read more China says ready to address Indian economic concerns The US remains India’s largest export destination, although tensions have risen recently over possible sanctions on Russia’s top oil buyers under a recently passed law.

Indian goods exports to the US reached $42.79 billion in April-August, up from $40.39 billion a year earlier – more than double the combined value of shipments to the four other BRICS members.