The potential settlement of Russian trade in yuan raises concerns about China demanding India-China trade settlement in yuan as well.
India-China trade has seen significant growth over the last decade, but it is heavily skewed, with India importing much more from China than it exports.
China is India's second-largest trading partner, while India ranks only 13th in China's trade partners.
India may find it challenging to refuse or resist if China demands trade settlement in yuan due to the imbalanced nature of the trade relationship.
If India starts using yuan for a substantial portion of its trade, it would contribute to China's ambitions of dominating the new world order.
The common Indian has not benefited from this trade situation, as prices of essential goods, petrol, diesel, and LPG have increased.
The discounted Russian oil obtained during this trade arrangement largely went to private companies like Reliance Industries and Nayara Energy, which refined and exported it at higher prices, resulting in substantial profits.
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