India's Exports to US Decline 37.5% Between May-September 2025: GTRI Analysis Reveals Sector-Wide Impact

India's exports to the United States have experienced a significant decline of 37.5 percent during the May-September 2025 period, according to the Global Trade Research Initiative (GTRI). The export value dropped from $8.8 billion in May to $5.5 billion in September.

The think tank reported that various sectors including pharmaceuticals, smartphones, metals, and automotive industries have shown notable decreases during this timeframe.

Pharmaceutical exports saw a 15.7 percent reduction, falling from $745.6 million in May to $628.3 million in September. Industrial metals and automotive parts, which face uniform tariffs across all exporting countries, experienced a relatively moderate 16.7 percent decrease, with values dropping from $0.6 billion to $0.5 billion.

GTRI Founder Ajay Srivastava detailed specific declines across metal exports: aluminum exports fell by 37 percent, copper by 25 percent, auto parts by 12 percent, and iron-steel by 8 percent. He suggested that since similar duties apply to global suppliers, this decline likely indicates softening U.S. industrial activity rather than India losing competitive advantage.

Labor-intensive sectors suffered more severely, with textiles, gems and jewelry, chemicals, agricultural foods, and machinery collectively experiencing a 33 percent decline, dropping from $4.8 billion to $3.2 billion. Srivastava emphasized that the impact on these sectors was both extensive and profound.

Solar panel exports were particularly hard hit, with a 60.8 percent reduction from $202.6 million in May to just $79.4 million in September.

The textile and garment sector also faced significant challenges, with exports decreasing by 37 percent, from $944 million to $597 million. Within this category, garments dropped by 44 percent, home textiles by 16 percent, and yarn and fabrics by 41 percent.

Marine and seafood exports witnessed a steep 49 percent decline, falling from $223 million to $113 million, delivering a severe setback to one of India's most labor-intensive export sectors.

This export downturn follows the United States' implementation of a comprehensive 50 percent tariff on a broad range of Indian products, which took effect on August 27.