India-China trade has increased so much, is that why Donald Trump is waging a 'tariff war'?

India and China… are the two biggest economic powers of the world, and a large population of the world lives in these two countries. In such a situation, if the trade between these two countries increases, then anyone can get tensed. 

Recently, a report by the United Nations revealed that the trade between the two countries has increased a lot. So is this the reason why America is losing sleep, is this also a big reason behind Donald Trump's tariff war?

According to the United Nations report, trade between India and China has increased especially in developing countries. 

Analyzing the data of the October-December 2024 quarter, the UN has said that better than average trade expansion has been seen during the decade. However, the report also warns of a global recession in the coming times.

After all, how much did India-China trade grow?

According to the Global Trade Update of the United Nations Trade and Development (UNCTAD), global trade has reached $33,000 billion in 2024 with an expansion of about $1,200 billion i.e. nine percent. 

This report covers the data till the beginning of March. It has been said that there has been better than average trade expansion in developing countries, especially China and India. Whereas trade has shrunk in many developed countries.

China and India saw strong trade growth in the fourth quarter (October-December) of calendar year 2024. At the same time, America remained the driver of the world economy during this period. 

Mixed trends of merchandise trade were seen between the major economies of the world in the fourth quarter of 2024. Despite this, export growth continued in the trade between China and India. 

According to the report, the growth of export of goods from India in the fourth quarter of 2024 was 7 percent. At the same time, compared to 2023, it was 2 percent.

On the contrary, South Korea's export growth has seen a slowdown. Still, compared to last year, it is the highest among the world's top economies.

America's trump tariff war

In the October-December quarter of 2024, the US import growth rate remained positive. While the export growth rate declined. For Japan, Russia, South Africa and the European Union, the import growth rate trends were negative on both quarterly and annual basis.

These figures are of December, whereas the power changed in America in January 2025. As soon as Donald Trump became the President of America, his first action was to start a tariff war to control a country like China. 

Along with this, promoting manufacturing in America and creating employment there is also another aspect of it. Donald Trump himself has announced 'Make in America'.

Now the UN figures also confirm why America's falling exports have become a big tension for it. Probably to deal with this, Donald Trump is fighting a 'tariff war'.