China's economy is 1.5x larger by GDP ($17.9T vs $12.0T), but India is growing faster at 6.2% annually versus China's 4.5%, positioning India to potentially surpass China within 15-20 years. China leads in manufacturing and exports, while India leads in services and software.
China vs India Economy 2026 — Side-by-side comparison on A Versus B
China currently leads globally with a significantly larger economy and manufacturing dominance, making it the world's second-largest economy after the US. However, India's faster growth rate and demographic advantages position it for long-term economic expansion. Choose China for analyzing current global manufacturing and export power; choose India for understanding future growth potential and emerging market opportunities.
World's 2nd largest economy and top exporter with mature manufacturing base and high per-capita income
World's 5th largest economy with fastest major-economy growth rate and expanding services sector
China vs India Economy 2026 — Comparison Data
Structured comparison data for China vs India Economy 2026 with 182 attributes.
Lithium Iron Phosphate Battery Production
Lithium Iron Phosphate Battery Production Share
Foreign Direct Investment Inflows (Annual)
Tech Sector Market Capitalization (Top 7 Companies)
Average Annual GDP Growth Rate (2010-2023)
China vs India Economy 2026 — Attribute Category Vocabulary
Taxonomy of attribute categories used to classify comparison data for China vs India Economy 2026.
At current growth rates (6.2% vs 4.5%), India could potentially surpass China in nominal GDP within 15-20 years, likely around 2040-2045. However, China maintains structural advantages in manufacturing infrastructure and capital stock that would need to be overcome. The exact timeline depends on exchange rates, commodity prices, and policy changes in both nations.
Why is China's economy larger if India is growing faster?
China began economic liberalization in 1978, giving it a 15-year head start on development. It also industrialized rapidly with massive infrastructure investment and manufacturing, reaching a mature economy stage. India started broader liberalization in 1991 and is still in rapid catch-up growth phase. Starting from a much larger base, even faster percentage growth takes time to close the gap.
China offers mature returns through established manufacturing and infrastructure sectors but faces demographic headwinds. India offers higher growth potential with younger demographics but carries higher execution risk due to infrastructure gaps. Short-term investors may prefer China's stability; long-term investors often favor India's growth runway.
How does China's manufacturing dominance compare to India?
China manufactures 28% of the world's goods versus India's 2.5%, reflecting decades of investment in factories, supply chains, and logistics. However, rising labor costs in China are driving production shifts to India, Vietnam, and Bangladesh. India is gradually increasing its share but would need 10+ years of sustained development to match China's scale.
Why is India's IT sector stronger than China's?
India has 4.5 million IT professionals (vs China's 3.8 million) and built its competitive advantage on English-language skills, global client relationships, and outsourcing models. India's software exports ($245B) are 11% higher than China's ($220B) because Indian firms like TCS, Infosys, and Wipro captured global outsourcing contracts. China focuses more on domestic tech companies and domestic consumption.