Modi-Xi meeting puts companies with exposure to China back in focus

As India and China come close after decades, amid changing global dynamics. Trump tariffs have led to a sharp shift in the understanding of global superpowers and underscored the importance of having a multipolar international order. In this new multipolar global order, Russia, India, and China play a vital role as they are abundant in resources, including human capital, minerals, and energy, among others.

President Xi Jinping said, “Dragon and Elephant need to dance together” in the recent bilateral dialogue between India and China, which could pave the way for a new beginning in the somewhat strained relationship between the two countries. As investors, experts and analysts navigate through the challenges created by tariffs, an opportunity opened in the east could be worth spending some attention.

Despite these positive developments, India-China trade remains a key concern with a trade deficit of $99.2 billion as of 2024-25. India’s exports to China stood at $14.2 billion, as compared to $113 billion worth of imports from China. India exports key products such as Iron ore, petroleum products, gems and jewellery, light Naptha,p-xylene, shrimp, castor oil and agribased goods.

Consequently, Indian companies that have exposure to China are also back in focus. Here’s the list of companies that have some exposure to China

Source: Tijorifinance.com

Apart from the above companies, Bhageris Industries, Food & Ins, Majestic Auto, DCM Nouvelle, Resonance Specialities, Technichem Organics, Arunya Organics, Essex Marine Also have some exposure to China.

It is very early to predict any particular agreement between India and China on trade, but these companies may find increased investor interest if we see any development on the agreement part.