Despite US tariff, merchandise exports at 10-year high; trade deficit sees sharp drop in November

India’s trade deficit narrowed to $24.53 billion in November from $41.68 billion in October, said the data released by the government on Monday. This was driven by a fall in gold, oil and coal imports, it said. Overall trade, including merchandise and services, recorded exports of $73.99 billion in November 2025, up from $64.05 billion in the same month last year. Imports during the period declined marginally to $80.63 billion from $81.11 billion. The overall trade deficit narrowed sharply to $6.64 billion in November 2025, compared to a deficit of $17.06 billion in November 2024. In the merchandise sector, exports increased significantly from $31.94 billion in November 2024 to $38.13 billion in November 2025, highest in over 10 years, reflecting stronger outbound shipments. Merchandise imports, moderated slightly, falling from $63.87 billion to $62.66 billion over the same period. This combination of higher exports and lower imports contributed positively to the overall trade balance. The services sector also witnessed growth in rising from $32.11 billion in November 2024 to $35.86 billion in November 2025, indicating continued strength in India’s services-driven external sector. Services imports increased marginally from $17.25 billion to $17.96 billion during the period. Speaking on the development, Commerce Secretary, Rajesh Agrawal, said, “Our record export has been $38.13 billion which is highest in last 10 years. In November month we have never crossed 38 billion.” As per the data released by the government, India’s exports to China registered a significant increase during the period April-November 2025 compared to the corresponding period of the previous year. Merchandise exports to China rose from $9.20 billion during April-November 2024 to $12.22 billion during April-November 2025, reflecting a growth of about 32.83%. On a monthly basis, exports to China during 2025-26 showed an overall upward trend despite some fluctuations. Exports stood at $1.39 billion in April 2025 and increased to $1.62 billion in May before easing slightly to $1.37 billion in June. In July and August, exports moderated to $1.34 billion and $1.21 billion respectively, indicating a temporary slowdown during the mid-year period.