As a result, India fears that some of its:
A)exports to China will be diverted to ASEAN countries.
B)exports to the United States will be diverted to China.
C)exports to China and to ASEAN countries will be diverted to trade among members of the ChinaASEAN freetrade area.
D)imports from ASEAN countries will be diverted to China.

Question

As a result, India fears that some of its:
A)exports to China will be diverted to ASEAN countries.
B)exports to the United States will be diverted to China.
C)exports to China and to ASEAN countries will be diverted to trade among members of the China­ASEAN free­trade area.
D)imports from ASEAN countries will be diverted to China.

Quizplus · Accepted Answer

The paragraph mentions that China and ASEAN countries have formed a free-trade area, which means that they will trade amongst themselves with reduced or zero tariffs. This could divert India's exports to China and ASEAN countries towards the free-trade area, resulting in a loss for India. Therefore, choice C is the best option.

As a Result, India Fears That Some of Its