Trade could be impacted due to second round effects – we export to those who traditionally export to China and have thus slowed down – and due to similarity in trade patterns with China – we compete with those who now have excess production capacity.
On the financial side, exposure to China is large for the Asia-Pacific banks, especially for banks from Hong Kong, Singapore and Australia and much less for banks from our region. However, some of our countries, though not India, have significant borrowing from Chinese banks, and these borrowings could become costlier if Chinese banks turn inwards.