US Tariffs Fail to Slow Down Bharat’s Economic Surge
Date: May 28, 2025
By: Bharat Global Time Business Desk
Location: New Delhi
In what can only be described as a watershed moment for India’s economic journey, the nation is poised to surpass $1 trillion in total exports—a historic milestone never achieved before.
Despite a wave of global trade disruptions, protectionist policies, and recent tariff hikes by the United States, India’s export engine has not just survived, but thrived.
This marks a resounding victory for India’s resilient industries, expanding trade alliances, and the government’s strategic push under “Atmanirbhar Bharat” and “Make in India 2.0.”
Breaking Down the Numbers
According to the Ministry of Commerce, India’s total exports (goods + services) are projected to reach:
- $770–780 billion in services (IT, fintech, digital, healthcare)
- $240–250 billion in goods (electronics, pharma, auto, machinery, textiles)
Total Export Estimate (FY 2024–25): $1.02 trillion
This will be the first time ever that India breaches the trillion-dollar barrier, joining the ranks of China, Germany, and the US.
US Tariffs? No Problem!
Earlier this year, the Biden administration increased tariffs on key Indian goods like steel, aluminum, solar components, and certain APIs—citing trade imbalances and domestic protection.
But the move backfired diplomatically and had minimal economic impact. Here’s why:
- India swiftly diverted exports to ASEAN, Africa, and Middle East markets
- FTA with UAE, Australia, and talks with EU & EFTA helped buffer the shock
- Indian exporters absorbed short-term costs, leveraging government rebate schemes (RoDTEP, PLI)
A senior commerce ministry official said:
“The days when US trade pressure could derail India’s export ambitions are over. We are now a globally integrated powerhouse with diversified markets.”
Sectors Powering the Boom
India’s export growth is being led by a tech-driven, multi-sector push:
IT & Digital Services
- $320 billion alone from software exports
- Surge in AI, fintech, and cloud-based services from Tier-2 cities
Pharmaceuticals
- India remains “pharmacy of the world”, exporting to 180+ countries
- Demand for affordable generics and vaccines remains high
Auto & EV Components
- Rising exports of electric vehicle parts to Europe, Southeast Asia
- Indian e-scooter and battery brands gaining global traction
Textiles & Apparel
- Revival due to China+1 sourcing strategy by Western companies
- “Bharatiya Cotton” making a comeback in fashion markets
The China Factor
With geopolitical shifts and growing mistrust toward China, India is emerging as a credible, stable, democratic alternative for manufacturing and services.
“China’s slowdown is India’s window of opportunity,” says S. Gurumurthy, an economist close to the Swadeshi school. “We must seize it.”
What This Means for You
This trillion-dollar milestone isn’t just for big corporates. It creates:
- Jobs for youth in manufacturing, IT, logistics, and export hubs
- Boost to Indian rupee through stronger foreign exchange inflows
- Greater global clout for India in trade negotiations
Final Word
From being a timid player in the 1990s to now breaking into the elite trillion-dollar export club, India has arrived. The message to the world is clear:
Tariffs can’t stop Bharat. Sanctions won’t stall Swadeshi. India exports strength—by the shipload
