India’s merchandise trade deficit surged to $34.68 billion in January 2026, up from $23.43 billion a year earlier and well above market expectations of $26 billion. The gap was the largest since October’s record $41.68 billion, coming just weeks before New Delhi struck an interim trade deal with the US aimed at lowering tariffs. Imports jumped 19.2% year-on-year to $71.24 billion, driven largely by higher purchases of gold and silver, while exports rose only 0.6% to $36.56 billion. Earlier this month, US President Donald Trump announced a reduction in tariffs on Indian goods to 18% from 50%, offering relief to exporters and policymakers. Under the agreement, India has committed to reducing Russian oil imports and plans to more than double its annual purchases of US goods. The deal followed a trade pact with the EU, reflecting India’s broader push to strengthen trade ties with major global partners. source: Ministry of Commerce and Industry, India

India recorded a trade deficit of 34.68 USD Billion in January of 2026. Balance of Trade in India averaged -4.16 USD Billion from 1957 until 2026, reaching an all time high of 0.71 USD Billion in June of 2020 and a record low of -41.68 USD Billion in October of 2025. This page provides the latest reported value for - India Balance of Trade - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. India Balance of Trade - data, historical chart, forecasts and calendar of releases - was last updated on February of 2026.

India recorded a trade deficit of 34.68 USD Billion in January of 2026. Balance of Trade in India is expected to be -27.00 USD Billion by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the India Balance of Trade is projected to trend around -32.00 USD Billion in 2027, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-01-15 08:30 AM
Balance of Trade
Dec $-25.04B $-24.53B $ -30B
2026-02-16 10:50 AM
Balance of Trade
Jan $-34.68B $-25.04B $-26B $-27.0B
2026-03-16 09:00 AM
Balance of Trade
Feb $-34.68B


Related Last Previous Unit Reference
Balance of Trade -34.68 -25.04 USD Billion Jan 2026
Capital Flows -157.00 -400.00 USD Million Sep 2025
Crude Oil Production 594.00 579.00 BBL/D/1K Oct 2025
Current Account -12292.00 -2722.00 USD Million Sep 2025
Current Account to GDP -0.60 -0.70 percent of GDP Dec 2024
Exports 36.56 38.51 USD Billion Jan 2026
Exports by Category
Exports by Country
External Debt 746000.00 747200.00 USD Million Sep 2025
Foreign Direct Investment 1134.00 1065.00 USD Million Dec 2025
Gold Reserves 880.18 880.18 Tonnes Dec 2025
Imports 71.24 63.55 USD Billion Jan 2026
Imports by Category
Imports by Country
Remittances 28547.00 24624.00 USD Million Sep 2025
Terms of Trade 147.30 147.00 points Dec 2024
Terrorism Index 6.41 6.32 Points Dec 2024
Tourist Arrivals 626000.00 742000.00 Apr 2025
Weapons Sales 25.00 41.00 SIPRI TIV Million Dec 2024


India Balance of Trade
India has been recording sustained trade deficits since 1980 mainly due to the strong imports growth, particularly of mineral fuels, oils and waxes and bituminous substances and pearls, precious and semi-precious stones and jewelry. In recent years, the biggest trade deficits were recorded with China, Switzerland, Saudi Arabia, Iraq and Indonesia. India records trade surpluses with the US, United Arab Emirates, Hong Kong, United Kingdom and Vietnam.
Actual Previous Highest Lowest Dates Unit Frequency
-34.68 -25.04 0.71 -41.68 1957 - 2026 USD Billion Monthly
Current Prices, NSA

News Stream
India’s Trade Deficit Widens Sharply Amid Rising Imports
India’s merchandise trade deficit surged to $34.68 billion in January 2026, up from $23.43 billion a year earlier and well above market expectations of $26 billion. The gap was the largest since October’s record $41.68 billion, coming just weeks before New Delhi struck an interim trade deal with the US aimed at lowering tariffs. Imports jumped 19.2% year-on-year to $71.24 billion, driven largely by higher purchases of gold and silver, while exports rose only 0.6% to $36.56 billion. Earlier this month, US President Donald Trump announced a reduction in tariffs on Indian goods to 18% from 50%, offering relief to exporters and policymakers. Under the agreement, India has committed to reducing Russian oil imports and plans to more than double its annual purchases of US goods. The deal followed a trade pact with the EU, reflecting India’s broader push to strengthen trade ties with major global partners.
2026-02-16
India to Slash Car Tariffs to 40% in EU Trade Pact
India will cut tariffs on European Union car imports to 40% from levels as high as 110%, Reuters reported. Prime Minister Narendra Modi’s government has agreed to immediately lower duties on select vehicles priced above EUR 15,000, with rates set to fall further to 10% over time, easing entry for automakers like Volkswagen, Mercedes-Benz and BMW. The move comes as India and the EU prepare to announce the conclusion of long-running free trade negotiations on Tuesday, with officials calling it “the mother of all deals.” Once finalized and ratified, the agreement is expected to expand bilateral trade and boost Indian exports of goods such as textiles and jewellery, which have faced 50% U.S. tariffs since late August.
2026-01-26
India Trade Deficit Widens in December
The merchandise trade balance in India widened to $25 billion in December of 2025 from $20.6 billion in the corresponding period of the previous year, marking the sharpest trade gap for the month on record. Imports rose by 8.8% from the previous year to $63.6 billion despite a week rupee and the decline in global energy benchmarks in the period, which make up a large portion of Indian imports, although pressure from the US to temper Indian purchases of Russian oil likely increased the energy input costs for refiners. In the meantime, exports grew a softer 1.8% to $38.5 billion. Foreign sales for selected industries were under pressure from 50% tariffs by the US, with India among the only major economies that have not secured a trade deal with the White House.
2026-01-15