India's share in US imports inches up

4 hours ago 7
ARTICLE AD BOX

India's share in US imports inches up

NEW DELHI: India has seen a slight increase in the share of US imports with Switzerland, EU and Taiwan being the top gainers, while China, Mexico and Canada are among the biggest losers.According to US Census Bureau data, in 2025, up to May, India's share rose to 3.1%, from 2.9% in the previous year. During this period, Switzerland saw a 3.3 percentage point increase, while China witnessed a 2.7 percentage point dip (see graphic).In most product segments, China that has been the main focus of Trump's actions has lost market share, with India gaining in some segments, notably electronics and textiles.The US Census Bureau data showed that China's dominance in advanced technology products has been significantly eroded with its share crashing to 5.8% in the calendar year up to May 2025, compared with 14.5% in the corresponding period in 2024 - implying an 8.7 percentage point decline. During this period, Taiwan's share jumped from 9.2% to 15.8%, Mexico being the other major gainer with a 2.3 percentage point rise to 14.7%.

India saw its share rise from 2.3% of US advanced technology product imports to 3.5% in 2025.Officials said that in the electronics segment, China's share of US imports halved to 11% between June 2024 and May 2025, while India's jumped from 3.5% to 7.2%, driven by mobile phones and solar cells. Mexico and Vietnam were the other beneficiaries.Similarly, in textiles, China's share declined from 27% in June 2024 to 14% last May, while India gained from 9% to 12% during this period.

Vietnam saw some trade moving to its factories and grabbed 18% share in May 2025, from 14% in June 2024."India's apparel exports data to the US underscores the highly price-sensitive nature of the American market. Even marginal price increases prompt sourcing shifts, reflecting the intense competition in the market. In this context, tariff reduction under the India-US trade agreement becomes critical, as it will significantly improve India's price competitiveness and enable deeper market penetration across key apparel segments and help us build on the impressive growth of 13% registered during 2024-25, said Mithileshwar Thakur, secretary general of Apparel Export Promotion Council.While there is a marginal gain in farm goods, India's share of gems and jewellery and chemicals imported into the US fell. Govt officials admitted that the 25% additional tariff in automobiles and components had hurt Indian exporters with tractors, motorcycles and mopeds seeing lower demand."So far the stocks with stores in the US have helped them meet the demand but everyone is waiting for clarity on tariffs. Orders will be based on tariff advantage that a country enjoys. We are hoping that India and the US can agree on a package and we can get a good deal as demand from American consumers remains strong," said Colin Shah, managing director of Kama Jewelry, a large exporter.

Read Entire Article