Indian Exports to the US Plunge 37.5% Following 50% Tariff Imposition
As the United States' decision to impose 50% tariffs on most Indian goods took effect, shipments from India to the US plummeted by 37.5% over four months, according to a report by the Global Trade Research Initiative (GTRI). The report highlights the severe impact of this decision on bilateral trade, with exports to the US falling from $8.8 billion in May 2025 to $5.5 billion in September 2025. The downturn began in May 2025, with exports rising 4.8% to $8.8 billion, but consistently falling thereafter, culminating in a 20.3% drop in September alone.
Key Takeaways:
- Indian exports to the US plummeted 37.5% over four months, from $8.8 billion in May 2025 to $5.5 billion in September 2025.
- The 50% tariff imposed by the US led to a sharp decline in exports, with the steepest monthly fall recorded in September 2025.
- The sectors most affected by the tariff were textiles, gems and jewellery, engineering goods, and chemicals.
- Between May and September, India's exports to the US lost over $3.3 billion in monthly value.
- The US has emerged as India's most severely affected export market since the escalation of tariffs.
Statistics:
- Indian exports to the US fell 37.5% over four months, from $8.8 billion in May 2025 to $5.5 billion in September 2025.
- The 50% tariff imposed by the US resulted in a 20.3% drop in exports in September 2025 alone.
- Exports to the US lost over $3.3 billion in monthly value between May and September 2025.
- The sectors most affected by the tariff suffered declines of:
+ Textiles: [specific percentage or dollar value not mentioned]
+ Gems and jewellery: [specific percentage or dollar value not mentioned]
+ Engineering goods: [specific percentage or dollar value not mentioned]
+ Chemicals: [specific percentage or dollar value not mentioned]
Sources:
- Global Trade Research Initiative (GTRI) report
- aninews.in, "Indian exports to US plunge by 37.5% after 50 per cent tariff imposition" (October 16)