New Delhi/IBNS: Replacing the United States, China has become the largest trading partner of India for the fiscal year 2023-24, reports said.

According to data compiled by the Global Trade Research Initiative (GTRI), China has ranked number one when it comes to India's bilateral trade with countries, with a two-way trade volume estimated at $118.4 billion.

This figure narrowly overtakes the bilateral trade between India and the United States, which amounted to $118.3 billion during the same period.

The report says India's exports to China witnessed a rise of 8.7 percent, totalling $16.67 billion in the last fiscal year.

Key sectors such as iron ore, cotton, textiles, spices, and agricultural products contributed to this growth trajectory, as per report.

On the other side, India witnessed a slight decline in exports to the US, which dipped by 1.32 percent to $77.5 billion in fiscal year 2023-24.

However, imports from the US saw an uptick of 14.7percent, amounting to $40.78 billion, reports said.

Despite this rise in imports, India managed to maintain a trade surplus with the US, expanding from $16.86 billion to $36.74 billion, as per data compiled by the GTRI.

Highlighting the evolving trade dynamics between India and its top trading partners, GTRI's founder Ajay Srivastava noted that while India's exports to China remained relatively steady, imports surged by 44.7 percent, resulting in a widening trade deficit.

According to reports, trade with the US exhibited major growth, with exports surging by 47.9 percent and imports by 14.7 percent, contributing to an expanded trade surplus for India.

India's trade relationships with its top 15 trading partners underwent major transformations from fiscal year 2019 to FY24, impacting both exports and imports across various sectors, as per data from GTRI.