India's Woes Make China Look Rosy - WSJ.com India must wish it had China's problems. â€ª Growth is slowing in both of Asia's emerging market titans, but it's India that faces the truly vexing path. Monday came news that Delhi is again losing its three-year-old fight against inflation even as growth sputters. Wholesale prices unexpectedly surged 7.2% in April, faster than in March, and faster than economists, banking on the economic slump to ease price pressures, predicted. Revisions to India's creaky statistics showed February inflation was also higher than previously thought. â€ª Meantime, the latest data show industrial production contracted in March, compared to the year earlier. Auto sales and exports are anemic. In China, industrial production has slowed, but remains in positive territory. Inflation is nearly half its August 2011 peak. â€ª The slow growth-inflation combo leaves India in a trap. The central bank, which just started cutting rates last month after nearly two years of decelerating growth, has little space to cut further unless inflation lies down. A sliding rupee makes critical imports priced in dollars, especially oil, more expensive, exacerbating inflation. In theory, a weak economy calls for more state spending, but austerity is in order with government deficits swelled. Many, including the Reserve Bank of India's governor, say Delhi's unproductive programs and high deficits are what's causing the inflation in the first place. â€ª China has its own constraints to implement a big enough stimulus package. Yet its textbook economic slowdown, in which activity is ebbing along with inflation, leaves room to maneuver. â€ª India should be envious.