India’s trade with the United States is experiencing significant growth, despite ongoing uncertainties surrounding tariffs. During the period from April to September 2026, India’s merchandise exports to the U.S. rose by 11.1%, reaching $50.81 billion, up from $45.73 billion in the same period last year. Meanwhile, imports from the U.S. surged by 26% to $32.33 billion, according to data from the Ministry of Commerce and Industry.
This increase in bilateral trade has led to a reduction in India’s merchandise trade surplus with the U.S., which narrowed to $18.48 billion, down from $20.07 billion a year earlier. The United States continues to be India’s largest export destination during the first half of the financial year.
Commerce Secretary Rajesh Agrawal highlighted that negotiations for a proposed India-U.S. trade agreement are advancing positively. Both countries are working towards finalizing and signing the deal at the earliest opportunity. However, the conclusion of the agreement is partly contingent on developments in the broader U.S. tariff framework, particularly the ongoing process under Section 301.
India is seeking preferential access to the American market to bolster the competitiveness of its domestic exporters against international rivals. The proposed trade agreement aims to enhance market access and fortify trade relations while addressing challenges related to tariffs.
The discussions underscore the importance both nations place on solidifying economic ties and ensuring mutual benefits from trade. As negotiations continue, the focus remains on overcoming tariff-related obstacles to foster a more favorable trading environment.