India’s exports to US hold firm after a year of Trump’s tariffs
The US continues to account for about 20% of India’s exports despite tariff tensions and New Delhi’s push to diversify trade. New agreements and faster growth in other markets are expanding alternatives, but replacing US demand could take years.
India's exports to the United States maintained a consistent 20% share over the past year, despite President Donald Trump's implementation of tariffs reaching up to 50% and subsequent reduction to 18%. The tariffs were later capped at 10%. Amidst the uncertainty in US-India trade relations, Prime Minister Narendra Modi's government hastened free trade negotiations with other major markets.
In the last year, India signed a trade deal with the UK, which became effective in July, along with agreements with the European Union, Oman, and New Zealand. While diversifying its trade relations has continued, the US remains the most alluring market, accounting for nearly 20% of India's exports, up from 17.4% in 2022-23.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
