India's April Trade Deficit Widens To $19.1 Billion, Exports Show Marginal Growth

Data reveals that India's exports experienced a marginal uptick of 1.06 per cent, reaching $34.99 billion in April 2024, compared to $34.62 billion in the corresponding period last year

India's merchandise trade deficit widened to $19.1 billion in April, marking a significant expansion from the previous month, according to Commerce Secretary Sunil Barthwal's announcement on Wednesday. This increase follows a narrowing of the deficit to $15.6 billion in March, which represented an 11-month low.

The latest government data reveals that India's exports experienced a marginal uptick of 1.06 per cent, reaching $34.99 billion in April 2024, compared to $34.62 billion in the corresponding period last year. Conversely, imports surged to $54.09 billion, registering a 10 per cent increase from $49.06 billion in April 2023.

While unveiling the trade data, Barthwal highlighted the growth in goods exports during April. He expressed optimism about the promising start to the new financial year and anticipated its continuity in the months ahead.

In March 2024, India's exports had dipped to $41.68 billion, down from $41.96 billion in the previous year.

On the other hand, US President Joe Biden has imposed substantial tariffs on a range of imports from China, spanning EVs, batteries, steel, solar cells, and aluminum. The objective is to shield American workers from unjust trade practices and ensure a level playing field in the market. These tariffs include a 100 per cent tariff on electric vehicles, a 50 per cent tariff on semiconductors, and a 25 per cent tariff on electric vehicle batteries originating from China.

In his address from the Rose Garden of the White House, Biden underscored that Americans have the freedom to choose any vehicle they desire. Nonetheless, he underscored that unfair dominance by China in the automotive market will not be tolerated. "But we're never going to allow China to unfairly control the market for these cars. Period," he affirmed.

Biden reiterated, "I advocate for fair competition with China, not conflict. Our investment in America positions us strongly to triumph in the economic competition of the 21st century against China better than anyone else."