The United States of America (USA) overtaken China to become India’s biggest trading partner in 2021-22, indicating the two nations’ growing economic connections.
According to commerce ministry figures, bilateral trade between the United States and India would reach $119.42 billion in 2021-22, up from $80.51 billion in 2020-21.
Exports to the United States surged to $76.11 billion in 2021-22, up from $51.62 billion in the previous fiscal year, while imports increased to $43.31 billion, up from about $29 billion in 2020-21.
According to the report, India’s two-way trade with China would be $115.42 billion in 2021-22, up from $86.4 billion in 2020-21.
According to Vice President Khalid Khan of the Federation of Indian Export Organizations, India is growing as a trustworthy trade partner, and global corporations are lowering their reliance on China for supply and expanding into other nations such as India.
“In the coming years, the bilateral trade between India and the US will continue to grow. India has joined a US-led initiative to set up an Indo-Pacific Economic Framework (IPEF) and this move would help boost economic ties further,” Mr Khan said.
America is one of the few countries with which India has a trade surplus.
In 2021-22, India had a trade surplus of $32.8 billion with the US.
According to the statistics, China was India’s biggest trading partner from 2013-14 to 2017-18, as well as in 2020-21. Prior to China, the UAE was the country’s most important commercial partner.
The UAE was India’s third largest trading partner in 2021-22, at $72.9 billion. Saudi Arabia ($42,85 billion), Iraq ($34.33 billion), and Singapore ($30 billion) followed.