Veteran business strategist Prof. at TV9 Network’s prestigious What India Thinks Today Summit. Ram Charan has presented a very positive and strong picture about India’s economy. Today, when the whole world is under the pressure of inflation and geopolitical wars, the Indian Government and Prime Minister Modi have handled the situation brilliantly. Pro. According to Ram Charan, the work that India has done amid rising prices and non-availability of goods, no other country in the world, including America, has been able to do.
India’s excellent management amid global crisis
With the Russia-Ukraine conflict in February 2022, the world has entered a period of continuous war. The impact of external changes and pressures is everywhere. India also had to face external warnings like not buying oil from Russia. 90 billion dollars went out across the world and inflation started taking over. But despite all this, the management of the Indian government was so excellent that the country faced this global crisis boldly and saved the common man from major shocks.
What is Dragon’s ‘90% Model’?
Along with this, Prof. Ram Charan has also given a very serious warning on the economic relations between India and China. Beyond the border dispute, China is waging a silent war within our economy, which is directly impacting the country’s currency, jobs and the pockets of the common man. Pro. According to Ram Charan, China is using a very aggressive formula to monopolize the world markets, which has been called ‘90% model’. President Xi Jinping implemented this strategy in 2014.
Under this, Chinese industries established production capacity equal to 90 percent of the world’s total demand. By devaluing its currency by 20 percent and providing huge government subsidies, China is selling products at prices so low that no one else can survive. The goods which are made in India for 3 dollars, are sold in China for 1 dollar. This policy of dumping goods at low cost is completely destroying the industries of the importing countries.
From solar to auto sector… the industrial backbone of the country is in danger.
This is not just a concern of big economists, but it is directly impacting the sectors that generate employment in India. Pro. Ram Charan clearly identified four Indian sectors which are headed for disaster…solar energy, electronics, pharmaceuticals and steel. Cheap solar panels and pharma equipment coming from China have broken the back of Indian manufacturers. Now the next target is the automobile sector of the country. It is the backbone of any industrialized country. When China fills the market with cheap products, it will become risky for Indian industrialists to invest in their own country.
India’s imports from China cross $126 billion
The common Indian is having to pay the brunt of this Chinese diplomacy in the form of inflation. Between 2020 and 2026, India’s imports from China have jumped from $65 billion to $126 billion. Without any concrete action, this figure is estimated to reach $739 billion by 2030. In comparison, our exports to China are negligible. Our foreign exchange reserves may dry up due to this continuously increasing trade deficit. This has had a direct impact on the Indian rupee. The rupee which was at 59 in 2014 has now slipped to 92 against the dollar. This fall of rupee means costlierness of imported goods and increase in inflation in the domestic market.
How will our economy become stronger?
We have to understand that China can jam the wheels of our economy at any time by stopping the supply of essential parts and raw materials. An example of this was seen in October 2025, when China stopped the supply of magnets to India. In the current times of continuous geopolitical tensions and global wars, India needs to remain extremely cautious. Pro. Ram Charan suggests that to become a strong industrialized nation by the year 2047, the Indian government will have to make a very strict and focused plan for the next five to six years, so as to stop the decline of the rupee and protect the indigenous industries from unfair competition from China.