US becomes India biggest trading partner surpasses China in FY22 at $119.42 billion

[ad_1]

Photo source: PTI

Representative images.

Highlights

  • The United States has overtaken China to become India’s top trading partner in 2021-22
  • In 2021-22, bilateral trade between the United States and India was 119.42 billion, up from $ 80.51 billion in 2020-21.
  • Exports to the United States reached $ 76.11 billion in 2021-22, up from $ 51.62 billion in the previous fiscal year.

In 2021-22, the United States surpassed China to become India’s top trading partner, reflecting the strengthening of economic ties between the two countries.

According to the Ministry of Commerce, in 2021-22, bilateral trade between the United States and India stood at US 11 119.42 billion, compared to US 80 80.51 billion in 2020-21.

Exports to the United States increased to US 76 76.11 billion in 2021-22 from US 51 51.62 billion in the previous fiscal year, while imports increased to US 43 43.31 billion in 2020-21 from about US 29 29 billion.

In 2021-22, India’s bilateral trade with China totaled 5 115.42 billion, compared to .4 86.4 billion in 2020-21, the data shows.

Exports to China increased from 21.18 billion US dollars in the last fiscal year to 21.18 billion US dollars in 2020-21, while imports increased from about 65.21 billion US dollars in 2020-21 to 94.16 billion US dollars.

The trade gap was USD 72.91 billion in 2021-22 as against USD 44 billion in the previous fiscal year.

Trade experts believe that the trend of increasing bilateral trade with the United States will continue in the coming years as New Delhi and Washington are committed to strengthening economic ties.

Khalid Khan, vice-president of the Federation of Indian Export Organizations, said India was emerging as a trusted trading partner and global companies were reducing their reliance on China alone for their supplies and diversifying business in other countries like India.

“In the years to come, bilateral trade between India and the United States will continue to grow. India has joined the US-led initiative to establish an Indo-Pacific Economic Framework (IPEF) and the move will help further strengthen economic ties.” Khan said.

Rakesh Mohan Joshi, director of the Indian Institute of Plantation Management (IIPM), Bangalore, also said that India has 1.39 billion people where the world’s third largest consumer market and the rapidly growing market with unequal population dividends provide ample opportunities. US and Indian companies for technology transfer, production, trade and investment.

“Major exports from India to the United States include petroleum polished diamonds, pharmaceutical products, jewelry, light oil and petroleum, frozen shrimp, make-up, etc. The imports from the United States include petroleum, rough diamonds, liquefied natural gas, gold, coal, Waste and scrap, nuts, etc., ā€¯Joshi said.

The US is one of the few countries with which India has a trade surplus. In 2021-22, India had a trade surplus of .8 32.8 billion with the United States.

Data shows that China was India’s top trading partner from 2013-14 to 2017-18 and 2020-21. Before China, the UAE was the country’s largest trading partner.

In 2021-22, UAE was India’s third largest trading partner, with USD 72.9 billion. It is followed by Saudi Arabia (USD 42.85 billion), Iraq (USD 34.33 billion) and Singapore (USD 30 billion).

Also read | Adani Green launches India’s first hybrid power plant

Also read | The RBI is looking at ‘good and bad’ ahead of the digital currency launch

Latest business news

.

[ad_2]

Leave a Reply

Your email address will not be published.