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Five countries engage in trade with each other. Each country levies import tariffs on the other countries. The import tariff levied by Country X on Country Y is calculated by multiplying the corresponding tariff percentage with the total imports of Country X from Country Y.

The radar chart depicts different import tariff percentages charged by each of the five countries on the others. For example, US (the blue line in the chart) charges 20%, 40%, 30%, and 30% import tariff percentages on imports from France, India, Japan, and UK, respectively. The bar chart depicts the import tariffs levied by each country on other countries. For example, US charged import tariff of 3 billion USD on UK.

chart

Assume that imports from one country to another equals the exports from the latter to the former.

The trade surplus of Country X with Country Y is defined as follows: Trade surplus = Exports from Country X to Country Y - Imports to Country X from Country Y.

A negative trade surplus is called trade deficit.

Question 7.

Which among the following is the highest?

A
B
C
D
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Text Explanation
The values given in both charts together are represented in the table below, with the import tariff percentages charged by each of the five countries on the others represented as a percentage, and the import tariffs levied by each country on other countries are represented in brackets(in billion USD).
Screenshot 2025-12-17 10 Option A) Exports by Japan to the UK would be the same as the UK's imports from Japan.
The UK is charging a 40% tariff on Japan, and the tariff imposed by the UK on Japan equals 6 billion USD.
So, 40% of the imports equals 6 billion USD.
$\dfrac{40}{100}\ \times\$ Imports $=\ 6$
Imports $=\ 3\ \times\ 5\ =\ 15$ billion USD.
The value of imports by the UK from Japan = Japan's export to the UK = 15 billion USD.
Option B) Imports by the US from France.
The US is charging a 20% tariff on France, and the tariff by the US on France equals 6 billion USD.
So, 20% of the imports equals 6 billion USD.
$\dfrac{20}{100}\ \times\$ Imports $=\ 6$
Imports $=\ 6\ \times\ 5\ =\ 30$ billion USD.
The value of imports by the US from France = 30 billion USD.
Option C) Exports by France to Japan would be the same as Japan's imports from France.
Japan is charging a 30% tariff on France, and the tariff by Japan on France equals 3 billion USD.
So, 30% of the imports equals 3 billion USD.
$\dfrac{30}{100}\ \times\$ Imports $=\ 3$
Imports $=\ 1\ \times\ 10\ =\ 10$ billion USD.
The value of imports by Japan from France = France's export to Japan = 10 billion USD.
Option D) Imports by France from India.
France is charging a 40% tariff on India, and the tariff by France on India equals 6.5 billion USD.
So, 40% of the imports equals 6.5 billion USD.
$\dfrac{40}{100}\ \times\$ Imports $=\ 6.5$
Imports $=\ 6.5\ \times\ 2.5\ =\ 16.25$ billion USD.
The value of imports by France from India = 16.25 billion USD.
Out of all the options, the value of imports by the US from France is the highest.
Hence, the correct answer is option B.
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