It has been a few years since the countries are negotiating upon their involvement in RCEP or Regional Comprehensive Economic Partnership. By definition, it is a free trade agreement between multiple countries, particularly in the Asia-pacific regions. A week ago, up to fifteen countries gave their approval for this agreement. Major members include Japan, South Korea, New Zealand, China, and Australia. Indeed, India was the 16th negotiator in this deal. However, at the last moment, the country took a step back and left the deal out in the blue. A few sources have mentioned that India's initiative to lose its grip on the RCEP deal was quite predictable after the COVID-19 widespread. 

First, Cybex informs that India Import data clearly renders a decline in India's trade deficit with China. As per the foreign trade data, in 2020, India reduced its import consumption from China by up to 48%. In simple words, India has begun to part in its import-export relations with China because of its previous allegations. In mid-2020, both India and the USA accused China of stealing worldwide users' data through Chinese mobile applications like TikTok, UC Browser, Beauty Camera, and many others. Consequently, India ended up banning over 51 Chinese apps to prevent itself from upcoming digital defilement. 

However, India does not put an end to it loathe against China. It also reduced the import of machinery and electronics at a high rate. Asian supply chains are more focused on Chinese products. It is a well-known fact that foreign trade data has put China as the center of innovation. Therefore, India has become much more active in its "Atma Nirbhar India Movement" or "Self-reliant India movement." Hence, to improve the self-growth rate of India, its reason to step back from RCEP was acceptable. 

Will it affect India's import-export data?

To begin with, the Regional Comprehensive Economic Partnership has been signed on 15th November 2020. But India is not a part of it. According to details, Prime Minister Narendra Modi announced India's non-involvement in RCEP. He pointed out the current economic conditions of India for such a drastic decision. The declaration highlighted that the vulnerable sections of the society would suffer if the country agreed on a free trade contract. India export data also disclosed that India is doing its best to reduce the trade gap (deficit) and become more of an independent economy.