New Delhi: India witnessed a surge in its trade activity with key global partners in the financial year 2024-25, with exports to the United States and imports from China both touching record highs. According to provisional data from the Commerce Ministry, the jump is partly attributed to accelerated shipments in March ahead of the expected reciprocal tariffs that took effect on April 2.
India’s exports to the US reached an all-time high of $86.51 billion, marking a significant rise despite an overall flat trend in the country’s total goods exports. A large portion of this growth came in March 2025 alone, when Indian exporters shipped goods worth over $10 billion to the US — a sharp 35% increase compared to the same month in the previous year.
Analysts believe this dramatic spike is a result of businesses front-loading their shipments to avoid the impact of fresh tariffs, which were set to kick in at the start of April.
Meanwhile, imports from China also surged to unprecedented levels, totaling $113.45 billion in FY 2024-25. The sharp rise underscores India’s continued reliance on Chinese goods, particularly in sectors like electronics, machinery, and intermediate manufacturing components.
The data shows a mixed picture for India’s overall trade balance. While exports to the US have performed exceptionally well, the growing import bill from China may add pressure to India’s trade deficit. Experts are now closely watching how the implementation of tariffs will influence trade flows in the current fiscal year.
The flat performance in total exports also indicates global headwinds and geopolitical uncertainties, including inflationary pressures, weak demand in key markets, and disruptions in global shipping routes, may have affected overall growth.
The coming quarters will be critical in assessing whether India can maintain its export momentum with the US and reduce its over-dependence on Chinese imports amid the evolving global trade environment.
