NEW DELHI: India’s merchandise trade deficit widened to a 13-month high of $32.15 billion in September, data showed on Wednesday, as imports surged faster than exports after President Donald Trump’s doubling of tariffs to 50% on several Indian goods in late August.
The September merchandise trade deficit was higher than economists’ forecast of $25.13 billion in a Reuters poll.
The data lands amid rising hopes from trade talks scheduled with Washington this week. India is promising to increase U.S. energy imports while aiming to address concern over its Russian oil purchases.
September exports rose to $36.38 billion from $35.10 billion in August, even with U.S. tariff hikes hitting shipments of Indian goods such as textiles, shrimp, and gems & jewellery, Commerce Ministry data released on Wednesday showed.
Total goods imports rose to $68.53 billion in September from $61.59 billion in the previous month, according to the data released.
The first six months of the fiscal year starting April saw goods exports to the U.S., India’s largest trading partner, rise over 13% to $45.82 billion from $40.42 billion a year earlier, while imports from the U.S. climbed to $25.59 billion from $23.47 billion a year ago, the data showed.
The government estimated services exports in September at $30.82 billion and imports at $15.29 billion, suggesting a total goods and services trade surplus at $15.53 billion.
The central bank releases monthly services trade data after a one-month lag, following government estimates.
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