New Delhi: India’s merchandise exports fell to $34.38 billion in October.
October marks the second full month of the US tariff hike taking effect.
The trade deficit widened, driven by a surge in gold imports. The merchandise trade deficit widened to $41.68 billion in October, compared with $32.15 billion in September, according to the government’s provisional estimates.
Merchandise exports in September stood at $36.38 billion.
Imports climbed to $76.06 billion in October, compared with $68.53 billion a month earlier. A year ago, in October 2024, exports were $38.98 billion and imports $65.21 billion.
Trump tariffs
In late August, US President Donald Trump announced an extra 25% duty on Indian goods, reportedly linked to New Delhi’s oil purchases from Russia, taking total levies to 50% from 27 August.
The tariff action is expected to hurt about half of India’s exports to the US, particularly labour-intensive sectors such as garments, leather, gems and jewellery. Shipments to the US accounted for roughly 2% of India’s GDP before the latest tariffs.