China Appeals to India Amid Growing Trade War With Trump Administration

As U.S.-China trade tensions escalate, China urges India to join forces against Trump’s tariff hikes, calling them an "abuse of tariffs." India now faces a crucial choice in global trade diplomacy.

As global trade tensions reach a boiling point, China has made a direct diplomatic appeal to India, urging the world’s most populous democracy to stand united against what it describes as the “U.S. abuse of tariffs.” The call for solidarity came on Tuesday, shortly after President Donald Trump announced a sweeping increase in tariffs on Chinese imports, raising cumulative duties to a staggering 104%.

China Appeals to India Amid Growing Trade War With Trump Administration
China Appeals to India Amid Growing Trade War With Trump Administration

The message, delivered by Yu Jing, spokesperson for the Chinese Embassy in India, was posted on X (formerly Twitter) and represents Beijing’s clearest effort yet to seek regional support in its trade standoff with Washington.

“The two largest developing countries should stand together to overcome the difficulties,” Yu wrote, emphasizing the complementary nature of India-China economic ties and advocating for a unified stance against unilateralism and protectionism.

Trump’s Latest Tariff Salvo

The trade war, initially launched during Trump’s first term, has been reignited with even more intensity since his return to the White House. The most recent tariff announcement brings the total duties on Chinese goods to 104%, an unprecedented figure in modern trade policy.

This escalation followed a retaliatory move by Beijing, which imposed a matching 34% tariff on U.S. imports. Instead of stepping back, Trump responded by threatening an additional 50% tariff, pushing the standoff into dangerous new territory.

“The United States is taking in almost $2 billion a day from tariffs,” Trump claimed on Tuesday, defending his aggressive trade strategy as necessary to revive domestic manufacturing and curb economic reliance on China.

But economists and financial markets have reacted nervously. Major U.S. stock indices slid for the second consecutive day, and analysts are warning of long-term consequences including:

  • Higher inflation
  • Supply chain disruptions
  • Reduced global trade flows
  • Increased consumer costs
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China’s Message to India: Join the Resistance

In this climate, China’s appeal to India is both strategic and symbolic. Recognizing India’s growing clout in global trade forums and multilateral institutions like the World Trade Organization (WTO), Beijing is seeking to build a coalition of developing countries, particularly from the Global South, to counterbalance U.S. protectionism.

Yu Jing’s statement stressed that China is a “firm defender of economic globalization and multilateralism”, arguing that its economic policies generate “positive spillovers” and contribute to 30% of global growth annually.

“China-India economic and trade relationship is based on complementarity and mutual benefit,” she noted. “The U.S. abuse of tariffs deprives countries, especially Global South nations, of their right to development.”

This messaging mirrors China’s broader diplomatic strategy—framing itself as a champion of free trade and development, and the U.S. as an aggressor pursuing economic nationalism.

India’s Delicate Balancing Act

While China’s call for solidarity might seem logical from a geopolitical perspective, India’s position remains far more complex.

India and China, despite being neighbors and economic powerhouses, have a history of political tensions, particularly over border disputes and strategic rivalries in the Indo-Pacific. At the same time, India is working to deepen trade and defense ties with the U.S., including through the Indo-Pacific Economic Framework (IPEF).

However, India has also been critical of excessive Western protectionism in global forums. External Affairs Minister S. Jaishankar has often stressed India’s support for rules-based multilateralism, aligning with parts of China’s critique of the U.S. approach.

Moreover, both India and China are major targets of U.S. tariffs, and both nations have faced pressure to rethink their trade and manufacturing strategies.

“Trade and tariff wars have no winners,” Yu Jing wrote, echoing a sentiment likely to resonate in New Delhi’s corridors of power.

India-China Trade

Despite political friction, India-China trade remains robust. In 2023, bilateral trade crossed $135 billion, with China being India’s largest trading partner for imports.

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Key areas of complementarity include:

  • Electronics and telecommunications
  • Pharmaceutical ingredients
  • Heavy machinery and industrial goods

India imports a significant portion of its critical electronic components and APIs (active pharmaceutical ingredients) from China, making it difficult to fully decouple from Chinese supply chains in the short term.

That said, India has taken steps to reduce economic dependence on China by promoting domestic manufacturing through initiatives like Make in India and incentivizing supply chain diversification.

Global Implications: Multilateralism Under Strain

The escalating U.S.-China tariff war is already having global repercussions:

  • Emerging economies are caught in the crossfire, facing volatility in exports and currency markets.
  • Global trade governance, led by the WTO, is under threat as more countries move toward bilateralism and protectionism.
  • Nations in Asia, Africa, and Latin America are being forced to choose sides, or craft delicate positions to navigate a fractured global economy.

China’s outreach to India underscores the urgency of forming alliances to uphold multilateral trade principles, especially among developing economies that rely on open access to global markets for growth.

What’s Next?

With tariffs continuing to rise and diplomatic rhetoric hardening, analysts believe that the trade war could spiral into broader geopolitical conflict if left unchecked.

Trump’s administration remains firm that the tariff strategy is working and claims it has revitalized American industries and brought billions in revenue to the U.S. Treasury. But critics argue that consumers and exporters are paying the price, and global economic stability is at risk.

India, meanwhile, faces a strategic crossroads:

  • Does it respond positively to China’s call for unity in defense of multilateralism?
  • Or does it maintain a pragmatic middle ground, balancing ties with both Beijing and Washington?
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Either way, India’s position will be critical in shaping the next phase of global trade dynamics.

Conclusion: A Defining Moment in Trade Diplomacy

China’s appeal to India marks a defining moment in the ongoing U.S.-China trade war, and possibly the wider future of global trade governance. As the world watches closely, India’s choices—whether to align with China on trade multilateralism, deepen ties with the U.S., or chart an independent course—will significantly influence the global economic order in the years ahead.

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