August Export Growth Eases Trade Gap, Yet Industry Braces For US Tariff Blow

Surging imports of goods during August 2025, at $61.59 billion, kept India’s merchandise trade deficit high at $26.5 billion, much higher than the average of $23.7 billion seen during April-July 2025.

While bracing for tariffs to make their real landfall, industry and trade are maintaining guarded hope.

Source : ABPLIVE AI

Even as India’s exports register positive growth in August 2025 amidst global trade uncertainty and tariff wars, contraction of imports signalling weak demand, absence of frontloading, and inadequate export finance remain chief worries for industry and analysts ahead of tariffs hitting. India’s merchandise exports in August 2025 rose by 6.7 per cent year-on-year to $35.10 billion, compared to $32.89 billion in August 2024. This surge took place even as growth in India’s