New Delhi, Jan 26 (NationPress) India’s trade with the United States is witnessing a notable rise, with significant growth observed in December in the bilateral exports between the two nations, despite disruptions in shipping caused by geopolitical tensions.

According to official data, India’s merchandise exports to the USA surged by 8.5 percent, reaching $7 billion in December.

In a similar vein, exports from the US to India increased by nearly 10 percent, amounting to $3.77 billion. The primary imports from the US for India included petroleum, petroleum products, coal, coke, and electrical machinery and equipment.

A senior official indicated that this illustrates that India is effectively serving as a market for American goods, fostering a reciprocal relationship where both nations reap the benefits of trade.

During the first nine months of the current fiscal year (April-December) 2024-25, the bilateral trade between India and the US reached $93.4 billion, closely trailing India’s trade with China at $94.6 billion during the same timeframe.

Additionally, India's electronic exports to the US soared by an impressive 27.4 percent, totaling $22.5 billion in April-November of 2024-25, compared to $17.66 billion in the corresponding period of 2023-24.

There has been consistent growth in this sector over the past two years as electronics exports from India to the US have more than doubled year-on-year, reaching $6.6 billion from January to September 2023, as reported by the industry body ICEA.

This surge in electronic exports follows the sanctions placed on China during the latter part of President Donald Trump’s first term, which have continued under Joe Biden.

With US corporations like tech giant Apple aiming to establish supply chains outside of China, India, with its vast domestic market, has emerged as a viable alternative.

India’s electronics exports to the US experienced an increase of $7.9 billion, contributing to over 62 percent of the trade surplus between the two nations.

Electronic goods have risen to the third spot among the top performers in India’s export sector, now ranking just behind engineering products and petroleum, compared to sixth place last year.

Within the electronics segment, smartphone exports have seen a 45 percent increase, as top players like Apple and Samsung ramp up production in the country.

Apple's entry into India, facilitated by its vendors Foxconn, Pegatron, and Tata Electronics, has significantly boosted smartphone exports this year. Exports of consumer electronics, solar modules, desktops, and routers have also experienced remarkable growth.

Looking ahead, electronics exports are expected to accelerate further as semiconductor manufacturing capabilities are currently being established in the country, according to the official.

India’s apparel exports have also exhibited a double-digit growth of 11.6 percent, reaching $11.31 billion during April-December of the current fiscal year, driven by demand from major markets such as the US, UK, and Germany.

The Apparel Export Promotion Council (AEPC) chairman Sudhir Sekhri stated that the robust growth and long-term outlook for Indian apparel exports remain optimistic, primarily due to enhanced product acceptance, adaptability to evolving consumer trends, factory compliance focus, and the government’s industry-friendly policies.