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What is the reason for the low cost of China imports in the Indian market?

  • 200.00 Rs.
  • Published date: February 6, 2024
    • Delhi, Central Delhi, Delhi, India
    •   [ #76053 Ad Views - 92 ]

In recent years According to the import export data India has seen an increase in imports from China that are priced much lower than comparable domestic goods or imports from other countries.

Chinese imports now account for around 14% of India's total imports and range from electronics and machinery to toys and everyday household items.

Several factors enable Chinese manufacturers to keep costs low prices in the Indian market:

  1. Lower Labor Costs

One of China's main advantages is the lower labor and manufacturing costs there. Chinese factories pay far lower wages to workers compared to their Indian counterparts.

They are also able to run very large-scale operations with thousands of low-paid workers involved in mass assembly line production. This allows them to achieve greater economies of scale and keep costs lower per unit of output.

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