India’s merchandise exports rise 6.75 pc in Sep despite US tariff hikes

New Delhi, Oct 15 India’s merchandise exports in September rose 6.75 per cent to $36.38 billion compared to the same month of the previous year, despite the punitive tariffs imposed by the US, according to data released by the Commerce Ministry on Wednesday.

The exports in September were also higher on a month-on-month basis than the corresponding figure of $35.1 billion for August.

"This has been a turbulent year for trade given developments across the world pertaining to supply chains and market access. But despite the turbulence during the first 6 months of FY26, total exports are higher than last year with $18 billion more than last year. Non-petroleum exports reached $189.49 billion during the first six months of FY26, highest ever for the period," Commerce Secretary Rajesh Agarwal said here.

However, the country’s imports surged faster than exports due to the surge in demand ahead of the festive season.

"Import increase in September 2025 has been higher than exports. Gold, silver, fertiliser and electronics have led to the import surge. Fertiliser imports have been higher this year so far due to better demand this year," Agarwal explained.

Total goods imports rose to $68.53 billion in September from $61.59 billion in the previous month, according to the data.

The government estimated services exports in September at $30.82 billion and imports at $15.29 billion, suggesting a total goods and services trade surplus at $15.53 billion.

Meanwhile, Indian and the US are making headway in their negotiations to conclude the first tranche of the proposed Bilateral Trade Agreement (BTA) as a team of Indian officials is scheduled to leave for Washington this week for further talks on the issue, according to government officials.

“Discussions between the two countries are progressing well,” a government official said.

India has offered to increase imports of oil and gas from the USA which will help to offset the trade surplus as well as enable the country to diversify its sources of energy to ensure a reliably supply amid geopolitical uncertainties.

India is also likely to sources more renewable energy technologies from the US as part of the trade package, a step that will help the country fight climate change.

The development comes in the backdrop of the new US ambassador Sergio Gor taking charge at the US Embassy in New Delhi.

Gor called on Prime Minister Narendra Modi last week and held discussions on bilateral issues including defence, trade, and technology. The importance of critical minerals to both of the countries was also discussed at the meeting.

“The US values its relationship with India and under the strong leadership of President Donald J. Trump and Prime Minister Modi, I am optimistic about the days ahead for both of our nations. President Trump considers Prime Minister Modi a great and personal friend. In fact, just before I left for New Delhi, they had an incredible phone call and that is something that will continue over the weeks and months ahead,” Gor said.

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