Suggested:
The shrinkage came when U.S. import levies quickly increased from 10% in early April to 25% in August and 50% by the end of that month.
By R. Suryamurthy
Over the past five months, India's exports to the US have drastically decreased as Washington's abrupt tariff increases have affected almost every significant export category, from textiles and smartphones to seafood and chemicals.
According to a recent analysis by the Global Trade Research Initiative (GTRI), overall exports to the United States decreased by 28.5% between May and October 2025, from USD 8.83 billion to USD 6.31 billion. This represents one of the biggest short-term drops in recent memory for India's biggest international market.
The shrinkage came when U.S. import levies quickly increased from 10% in early April to 25% in August and 50% by the end of that month. Due to the abrupt increase, Indian exporters were subject to some of the highest levies in the world; in contrast, China and Japan were subject to duties of about 30% and 15%, respectively.
Based on tariff exposure, the GTRI research splits India's shipments to the United States into three buckets; however, the results were consistently negative for each category. Even the registration of tariff-exempt items, which make up 40% of India's exports to the United States, is declining, highlighting the wider strain in trade ties, logistical issues, and weaker American demand.
Over the course of five months, smartphones, medications, and petroleum products—items exempt from the new duties—saw an unanticipated 25.8% decline. India's single biggest product line, smartphone exports to the US, fell 36%, from USD 2.29 billion in May to USD 1.50 billion in October. Monthly shipments decreased steadily through August and September after reaching a peak in June, then recovered to USD 1.5 billion in October.
With a 1.6% decline from USD 745.6 million to USD 733.6 million, pharmaceutical exports fared rather well. However, as demand patterns changed and shipping routes were rearranged, petroleum products declined 15.5% to USD 246 million, with motor gasoline exports falling from USD 68.3 million to zero.
Uniform Tariffs, Inconsistent Results
Sectors where all international suppliers are subject to the same tariff rate, like iron and steel, aluminium, copper, and auto components, also reported losses; however, the contraction seems to be more related to a cooling U.S. industrial cycle than to a decline in competitiveness.
Iron and steel exports fell over 20% to USD 211 million, while aluminium exports fell 43.3% to USD 58.2 million. Copper plummeted 13.5% to USD 27.5 million, while auto parts shipments dropped 22% to USD 142.5 million. Together, these industries only made up 7.6% of India's exports to the United States in October, but the drops show that American industrial activity was already slowing down before the tariff shocks.
Sectors where all international suppliers are subject to the same tariff rate, like iron and steel, aluminium, copper, and auto components, also reported losses; however, the contraction seems to be more related to a cooling U.S. industrial cycle than to a decline in competitiveness.
Iron and steel exports fell over 20% to USD 211 million, while aluminium exports fell 43.3% to USD 58.2 million. Copper plummeted 13.5% to USD 27.5 million, while auto parts shipments dropped 22% to USD 142.5 million. Together, these industries only made up 7.6% of India's exports to the United States in October, but the drops show that American industrial activity was already slowing down before the tariff shocks.
If there’s one name that defines authentic Bengali sweets, it’s Kandoi Bhogilal Mulchand. Nestled in the heart of Burrabazar, Kolkata, this iconic shop has been delighting sweet lovers for over a century. Known for its traditional recipes and rich flavors, Kandoi Bhogilal Mulchand has become a must-visit destination for both locals and tourists.
