India's Engineering Goods Exports Surge to $122 Billion in FY26
Synopsis
India's engineering goods exports have hit a historic high of $122.43 billion in FY 2025-26, marking a significant increase over the previous year. This achievement underscores the sector's resilience amidst global challenges, as reported by EEPC India.
Key Takeaways
Record exports: $122.43 billion in FY 2025-26 5% growth: Over the previous fiscal year Challenges: Geopolitical tensions and supply chain disruptions Adaptability: The sector showed resilience and flexibility Future outlook: Cautiously optimistic for FY 2026-27
New Delhi, April 15 (NationPress) In FY 2025–26, India's engineering goods exports achieved a remarkable milestone, totaling $122.43 billion, which exceeds the former record of $116.75 billion set in FY 2024–25, marking a growth of approximately 5 percent, as reported by EEPC India on Wednesday.
This accomplishment is hailed as a reflection of the sector's robustness, especially in light of a particularly challenging global landscape.
The record was accomplished amidst geopolitical unrest, disruptions in supply chains linked to the West Asia conflict, changing trade policies under the Trump administration, and soaring freight and energy expenses. The engineering sector managed to steer through these obstacles by diversifying markets, introducing new product lines, and strategically leveraging free trade agreements.
In March 2026, even as a critical maritime route faced interruptions due to the West Asia conflict, engineering exports still managed a slight growth of 1.1 percent, increasing from $10.82 billion in March 2025 to $10.94 billion.
EEPC India highlighted the sector's ability to sustain positive growth during peak supply chain stress as evidence of its flexibility.
EEPC India Chairman Pankaj Chadha credited this record achievement to a blend of proactive industry initiatives and timely governmental support.
"The engineering sector, while navigating these challenges, also recognized new opportunities and ventured into market and product diversification," he stated.
Free trade agreements established a framework that enabled the sector to explore new markets while traditional trade routes faced challenges.
Looking forward, EEPC India expressed cautious optimism regarding the export growth prospects for FY 2026–27.
The ongoing West Asia conflict, which began on February 28, has caused persistent supply chain disruptions, sharply increased energy prices, and contributed to raw material inflation.
Chadha mentioned, "We anticipate a reduction in geopolitical tensions and a resolution of conflicts, which should facilitate strong growth in engineering exports this fiscal year," while also noting that the inflationary climate and global uncertainties require a prudent outlook.
Point of View
This achievement highlights India's engineering sector's adaptability and resilience in the face of a turbulent global environment. The steady growth in exports reflects both strategic industry initiatives and supportive government policies, positioning India as a key player in the global engineering landscape.
NationPress
6 Jul 2026
Frequently Asked Questions
What were India's engineering goods export figures for FY 2025-26?
India's engineering goods exports reached $122.43 billion in FY 2025-26, surpassing the previous year's record.
What challenges did the engineering sector face?
The sector faced geopolitical tensions, supply chain disruptions from the West Asia conflict, and rising freight and energy costs.
How did the sector manage to grow despite these challenges?
The engineering sector navigated challenges through market diversification, new product lines, and leveraging free trade agreements.
What is the outlook for the upcoming fiscal year?
EEPC India remains cautiously optimistic about export growth for FY 2026-27, anticipating easing geopolitical tensions.
How did March 2026 exports compare to March 2025?
In March 2026, engineering exports grew by 1.1 percent to $10.94 billion, compared to $10.82 billion in March 2025.
