India's exports to US hit record high in March amid 90-day tariff pause

India's exports to the United States reached a record high of Rs. 94,898 crore (US$ 11.2 billion) in March, exceeding the Rs. 84,730 crore (US$ 10 billion) mark for the first time. This represents a nearly 50% increase over the 12-month average, according to United States Census Bureau data. The export surge contributed to an unprecedented total bilateral goods trade of Rs. 1,27,095 crore (US$ 15 billion) for the month. This significant rise in trade activity occurred during the 90-day tariff pause announced by US President Mr. Donald Trump as both nations continued to negotiate a trade agreement. In the Q1 FY25, India exported goods worth Rs. 2,34,702 crore (US$ 27.7 billion) to the US while importing Rs. 88,967 crore (US$ 10.5 billion), resulting in a US trade deficit with India of over Rs. 1,45,736 crore (US$ 17.2 billion). The US trade deficit with India is part of a broader trend, as the US experienced a record trade deficit of Rs. 11,90,457 crore (US$ 140.5 billion) in March, up from Rs. 10,43,874 crore (US$ 123.2 billion) in February. This increase was driven by firms rushing to stockpile imports before new tariff hikes took effect. In 2024, India-US goods trade stood at Rs. 10,94,712 crore (US$ 129.2 billion), compared to Rs. 10,51,499 crore (US$ 124.1 billion) in 2023. The current surge in trade is part of a larger pattern of increased US imports globally as companies prepare for potential tariff increases.