India is one of the fastest growing countries not only in South Asia but also in the world. When US President Donald Trump imposed a 25 percent tariff on India and an additional 25 percent tariff on oil purchases from Russia, which totaled 50 percent, many experts feared that India’s economy would be adversely affected. But, the things that have come to light are completely opposite to this, and they may surprise even President Trump himself.
Tariffs had no effect
US tariffs have had almost no impact on Indian GDP. On the contrary, India’s exports have increased further. According to a research report by SBI, despite fluctuations in the global market, India’s exports have increased strongly. According to news agency ANI, India’s merchandise exports increased to $220 billion between April and September in the financial year 2025-26. At the same time last year, this figure was $214 billion, which shows an increase of about 2.9 percent.
Increase in exports to US
Despite the US imposing higher tariffs, India’s exports to the US grew by about 13 percent or $45 billion. However, on a year-on-year basis, shipments to the US in September 2025 declined by about 12 percent from the previous year. The report said that the US remains India’s major export market, but after July 2025, a big decline was recorded in the total exports to the US. This decline reached about 15 percent in September 2025. Additionally, shipments of marine products and precious stones to the US also declined significantly.
moving towards new markets
On the other hand, India has shifted its exports to countries like UAE, China, Vietnam, Japan, Hong Kong, Bangladesh, Sri Lanka and Nigeria. It is worth noting that Indian products like textiles, jewelery and shrimp have been most affected by the high US tariffs. To deal with this situation, the government has approved an assistance of Rs 45,000 crore to help exporters, which also includes a credit guarantee of Rs 20,000 crore.
