India’s trade relations with the United States continue to strengthen, as the country’s merchandise exports to the U.S. rose by 11.1% to $50.81 billion during the period from April to September 2026, compared to $45.73 billion in the same timeframe the previous year. On the other hand, imports from the U.S. saw a significant increase of 26%, reaching $32.33 billion, up from $25.66 billion, according to data from India’s Ministry of Commerce and Industry.
This growth in bilateral trade occurred despite uncertainties surrounding tariffs, a crucial element in the ongoing negotiations for a comprehensive India-U.S. trade agreement. The trade surplus India enjoys with the U.S. narrowed to $18.48 billion, down from $20.07 billion the year before, yet the U.S. retained its position as India’s largest export destination during the first half of the financial year.
Commerce Secretary Rajesh Agrawal commented on the trade discussions, noting that negotiations are progressing positively, with both nations eager to finalize and sign the agreement. However, the conclusion of the deal is contingent upon developments in the broader U.S. tariff framework, including changes under Section 301.
India is advocating for preferential access to the American market, a move aimed at bolstering the competitiveness of Indian exporters against international competitors. The anticipated trade agreement seeks to enhance market access and solidify trade ties between the two countries while addressing existing tariff-related challenges.