India’s Export Status Stays Strong, Says NITI Aayog- Tariff Advantage Over China Opens Bigger U.S. Market Play

India’s export status is holding steady, and its global trade game just got a potential boost. According to NITI Aayog’s latest Quarterly Trade Watch report, India shows strong growth opportunities in key product categories—especially in the United States. “The data suggests strong growth opportunities in targeted product categories while highlighting areas where India’s export status is expected to remain unchanged,” the report said. With global trade undergoing major shifts and supply chains moving away from China, India’s export strategy is entering a new phase. NITI Aayog highlighted that India has a competitive edge in several U.S. market sectors, even while facing marginally higher tariffs. Interestingly, India enjoys a significant 20.5% average tariff advantage over Chinese goods in key sectors. Now that’s a number exporters won’t ignore. The data points to India’s growing relevance in global supply chains—and its chance to cash in, especially as trade tensions heat up.

India Keeps Labels Low In U.S. Trade Turf War

NITI Aayog’s report breaks down the U.S. import game across 30 top product categories (HS-2 level) and finds India in a strong position in 22 of them. In these segments, India faces lower average tariffs than its competitors. Only in 6 categories does India face slightly higher tariffs—ranging from 0% to 3%. Yet, these 6 product groups account for over 12% of total U.S. imports, offering Indian exporters serious room for growth. “Additionally, these differences are modest and present a strategic opportunity for India to engage in targeted negotiations with the United States,” the think tank noted.

China+1 Shift Helps Boost India’s U.S. Trade Prospects

Ever heard of the China+1 strategy? It’s the global trend where companies are saying, “Let’s not put all our supply chain eggs in one basket.” And guess who’s quickly becoming the next favorite basket? Yep—India. As businesses look for reliable alternatives to China, India is stepping up and catching the U.S. market’s eye. According to NITI Aayog, even with a few slightly higher tariffs, India still holds a “relatively strong and competitive position” in the U.S. trade scene. That’s big. Plus, with a lower average tariff burden than China in many key categories, India has a wide-open lane to accelerate exports. The timing? Couldn’t be better. The report hints that if India plays its cards right in upcoming trade talks, it could level up big-time in global exports. So, exporters—this might just be your signal to gear up!

India-U.S. Trade Talks Heat Up Amid Global Tariff Shake-Up

• India is actively negotiating a Free Trade Agreement (FTA) with the United States.
• The talks come at a time when the U.S. is tightening trade policies globally.
• Former U.S. President Donald Trump recently announced 30% tariffs on goods from Mexico and the European Union, effective August 1.
• Trump has also warned over a dozen countries of upcoming tariff hikes through posts on Truth Social.
• According to The Hill, these tariffs were initially proposed in April 2025 but paused for 90 days to allow for negotiations.
• Amid rising global trade tensions, India’s lower tariff burden in key sectors gives it a potential edge in securing better access to the U.S. market.
• If India’s trade talks stay on track, it could benefit from smoother export gains in an otherwise shaky global trade climate.

(With Inputs From ANI)

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