Due to an increase in economic relations between the two nations, the United States has become India's primary trade partner for the year 2022-23. The commerce ministry's initial information indicates that the bilateral trade between the United States and India grew by 7.65% to $128.55 billion in 2022-23, compared to $119.5 billion in the previous year (2021-22) and $80.51 billion in 2020-21.
The information shows that India's exports to the United States rose by 2.81% to $78.31 billion in 2022-23, compared to $76.18 billion in 2021-22. However, imports increased by approximately 16%, reaching $50.24 billion.
On the other hand, India's trade with China declined by roughly 1.5% in 2022-23, with the two-way trade falling from $115.42 billion in 2021-22 to $113.83 billion.
Analysts anticipate that the pattern of rising bilateral trade between India and the United States will persist in the future as both countries endeavour to enhance their economic relations.
Federation of Indian Export Organisations (FIEO) President, A Sakthivel, stated that India is bolstering its exports to the United States, especially in areas such as pharmaceuticals, engineering, gems, and jewellery. This is aiding India in increasing its exports to the US.
The Director of the Indian Institute of Plantation Management (IIPM), Bangalore, Rakesh Mohan Joshi, acknowledged that India presents significant trading opportunities for the United States due to being the world's third-largest consumer market and having the fastest-growing market economy.
Joshi explained that India's primary exports to the United States include various products such as petroleum, polished diamonds, pharmaceuticals, jewellery, light oils, frozen prawns, and made-ups. Likewise, the primary imports from the United States include petroleum, rough diamonds, liquefied natural gas, gold, coal, waste, scrap, and almonds.
India is one of the few countries that have a trade surplus with the United States. In 2022-23, India recorded a trade surplus of $28 billion with the United States.