INDIA CHINA Connect

US Vice President JD Vance’s first official visit to India, alongside his family and senior officials, focused on strengthening US-India ties in trade, defense, and technology. Vance and Prime Minister Narendra Modi discussed regional and global issues, finalizing a roadmap for a trade deal aimed at doubling bilateral trade to $500 billion by 2030.

Islamic terrorists ambushed Hindu tourists in Kashmir's Pahalgam, killing 26, including Navy officer Vinay Narwal and two foreign nationals. Victims were targeted by religion, sparking outrage and recalling past religious violence in the region.

Indian banks are emerging as global leaders in digital transformation, according to Deloitte’s 2024 Digital Banking Maturity report. Nine out of 12 surveyed banks achieved “Digital Champion” status, placing them in the global top 10%.

India is working to address its $41 billion trade surplus with the US by increasing imports and fostering collaboration through a proposed Bilateral Trade Agreement (BTA). Key discussions, including high-level visits, aim to bridge trade gaps and align on tariffs.

Rural India is undergoing a major transformation, with digital adoption soaring by 28% since 2022 and 70% of rural consumers now online. Economic challenges, including inflation and rising household expenses, have tempered discretionary spending, especially among younger, affluent groups.

China dominates the $450 billion global critical minerals market, controlling 60% of processed mineral exports and excelling in battery materials and electric vehicles (EVs). It leads in both imports and exports of raw and processed materials, cementing its supply chain influence.

Fitch Ratings forecasts India’s FY26 GDP growth at 6.4%, slightly down from 6.5%, due to the U.S.-China trade war's global ripple effects. The agency cut 2025 global growth projections to 1.9%, with U.S. growth revised to 1.2% and China to 3.9%. Elevated tariffs, exceeding 100%, between the two nations drive this slowdown

Surat, the global diamond polishing hub responsible for over 90% of the world’s diamonds, faces a crisis due to US-imposed tariffs of up to 26% on gem imports. The US, India’s largest diamond export market, saw a 15% drop in imports, contributing to a 20% decline in India’s global diamond trade.

Astrophysicist Dr. Nikku Madhusudhan and his team have discovered dimethyl sulfide (DMS), a molecule linked to biological activity, in the atmosphere of exoplanet K2-18b, located 120 light-years away.

Chinese researchers at Fudan University have developed “Poxiao,” the world’s fastest flash memory, capable of erasing and rewriting data in just 400 picoseconds. This breakthrough, 100,000 times faster than current flash storage, overcomes traditional speed limitations by employing a novel theory called “2D-enhanced hot-carrier injection.”

India’s pharmaceutical exports hit a historic $30 billion in FY25, marking a 9.4% annual increase. March 2025 saw a standout 31.21% YoY growth, with exports reaching $3.68 billion. The US led as the top importer, with exports rising 14.29% to $8.95 billion, followed by the UK, Brazil, France, and South Africa.

The Adani Group faced a major crisis in January 2023 when Hindenburg Research accused it of fraud, causing a $150 billion market value loss. Amidst this turmoil, Adani launched "Operation Zeppelin," a covert strategy to counter the allegations and uncover Hindenburg’s backers.

India is advancing its manufacturing sector by limiting Chinese firms to 10% equity in joint ventures, ensuring technology transfers to empower local expertise. Prioritizing collaborations with supply chain firms over brands, India fosters a robust domestic ecosystem.

India’s per capita edible oil consumption has tripled in 20 years, rising from 8.2 kg in 2001 to 23.5 kg in 2023, double the recommended limit. This surge, driven by changing diets and processed foods, has heightened health risks like obesity and diabetes.