India’s dependence on China extends beyond nail clippers, into drugs and railways

Chinese influence on indian imports extends beyond nail clippers

India’s import dependence on China extends far beyond everyday household items such as nail clippers, stretching into specialised industrial inputs. A Moneycontrol analysis shows that Beijing supplies over 90 percent of India’s imports of pencil leads, cellophane tape, and weighing machines, as well as critical railway parts such as axles and wheels.

In certain categories, India is almost entirely reliant on Chinese suppliers. Strollers, prams, and wheelchairs fall into this bracket. The shift has been especially stark in the post-pandemic period. For example, leather sofa covers and cigarette lighters—where China earlier accounted for less than 10 percent of imports—now see more than 90 percent sourced from Beijing. Similarly, jewellery boxes, pen holders, and cellophane film that once had diverse sourcing are now overwhelmingly dependent on China.

Dominance in low-value items

China dominates household staples: hot water bottles, torches, table fans, and toasters each see Chinese shares above 95 percent. Smaller-ticket items like combs, nail cutters, bread boards, and vacuum flasks record dependence exceeding 97 percent. In specialised products too, from escalators to electronic toy parts and streptomycin antibiotics, India continues to rely almost exclusively on China.

“Most of the day-to-day items produced by MSMEs lack scale and technological sophistication with which Chinese produce at a competitive price and better design. Non-availability of special material (specialised steel for nail clippers for example) is also a constraint,” said Anil Bhardwaj, Secretary General, Federation of Indian Micro Small & Medium Enterprises (FISME).

There are some signs of clawback. Imports of toasters and table fans from China have halved in the past decade. But in other categories, dependence has only grown. Imports of weighing machines from China more than doubled to $18 million in FY25 compared with FY18. Lighters rose from just $0.28 million seven years ago to $10 million in FY25.

"Due to gaps in metallurgical capacity and lack of competitive manufacturing, India continues to import nail cutters from China. On the other hand, targeted policies, incentives, and quality regulations have enabled a successful shift towards domestic production of toasters, sharply reducing dependence on Chinese imports for these goods," said Paras Jasrai, associate director, India Ratings and Research.

Rising reliance in industrial inputs

The industrial picture is equally concerning. Imports of axles and wheels for railway wagons surged sevenfold to $153 million in FY25, with China’s share now above 90 percent, up from 62 percent in FY19. Freezers and cast-iron pans, once sourced from multiple countries, are now also overwhelmingly Chinese.

An earlier Moneycontrol analysis found that in over $30 billion worth of imports, India remains heavily reliant on China. In 59 product categories worth $1.3 billion—largely linked to pharmaceuticals—China accounts for virtually 100 percent of India’s imports. Another $5 billion worth, including APIs and display products like LCDs and OLEDs, sees China supplying over 90 percent. A further $19 billion lies in the 75–90 percent range, covering furnaces, ovens, and personal computers worth $4 billion alone.