US Treasury Holdings Show Shift: China Down, India Up Over $200 Billion

The latest Treasury International Capital (TIC) release for August paints a picture of shifting power among foreign owners of U.S. Treasury securities. Mainland China’s stake shrank to $590.7 billion, down from $618 billion in July and $699.7 billion a year earlier. The cumulative loss over the past twelve months totals about $109 billion.

India’s exposure, on the other hand, surged to $219.7 billion, up from $202.6 billion in July—an increase of roughly $17 billion in one month. After falling to a low of $181 billion in April, Indian holdings have risen consistently: $181.3 billion in May, $186.4 billion in June, and $202.6 billion in July, before reaching the current level that matches its position a year ago.

The gap between the two Asian economies has narrowed dramatically, shrinking from about $480 billion a year ago to approximately $371 billion now. In the hierarchy of major foreign holders, India occupies the 14th slot, trailing Hong Kong’s $261.5 billion and just ahead of Norway’s $214 billion. Japan stays on top with $1,068.3 billion, followed by the United Kingdom at $1,009.5 billion, and China in third place.

The TIC report also recorded a net inflow of $199.8 billion in August. Foreign residents increased their long‑term U.S. securities holdings by $300.7 billion, while their Treasury bill positions shrank by $47.8 billion. The next TIC update, covering September, is slated for release on November 18.