India’s export growth relies on Chinese imports, data shows

India's merchandise exports grew 17.04% in April-July 2026 compared to the same period last year, but imports surged 19.27% to $292.38 billion, driven largely by Chinese components for smartphones and pharmaceuticals, ThePrint reports. Electrical component imports from China rose 78% to $4.12 billion in the first quarter, and integrated circuit imports jumped 63.59% to $3.63 billion. ThePrint notes that smartphone exports hit $9.86 billion in Q1, up 23%, but the supply chain remains heavily dependent on China, which supplies 67% of certain electronic parts.

New Indian Express, citing CRISIL data, reports India imported nearly $40 billion worth of electronic components in FY26, with integrated circuits alone at $30 billion. The report warns that dependence on critical imports, including rare earths and semiconductors, risks supply shocks amid geopolitical tensions, and recommends diversifying sources and expanding domestic production. Both sources highlight that electronics and pharmaceuticals are among the most import-intensive sectors, with Chinese inputs playing a central role in India's export success.