India’s trade with the United States has demonstrated robust growth despite ongoing tariff uncertainties, with merchandise exports to the US increasing by 11.1% to $50.81 billion from April to September 2026 compared to $45.73 billion during the same period last year. Imports also saw a significant rise, jumping 26% to $32.33 billion, up from $25.66 billion the previous year, according to the Ministry of Commerce and Industry.
Even with the growth in trade, India’s merchandise trade surplus with the US narrowed to $18.48 billion, down from $20.07 billion a year earlier. Throughout this period, the United States remained India’s largest export destination.
The progress in trade relations is mirrored by ongoing negotiations for a proposed trade agreement between India and the US. Commerce Secretary Rajesh Agrawal noted that discussions are advancing positively, with both nations eager to finalize and sign the deal as soon as possible. Nevertheless, the finalization of the agreement is partially contingent on developments within the broader US tariff framework, particularly the ongoing processes under Section 301.
As part of the proposed agreement, India is pursuing preferential access to the American market to enable its domestic exporters to better compete on a global scale. The agreement seeks to bolster market access and strengthen trade ties while addressing challenges related to tariffs.