India is seeking fairer trade ties with China while expanding export opportunities, even as imports and the bilateral trade deficit remain concerns
India’s goods exports jumped 26.13% year‑on‑year in August 2026 to $43.81 billion, the strongest rise in the current fiscal year, while imports grew at a slower 14.1% pace, narrowing the monthly trade deficit. The surge was driven by higher petroleum product shipments and strong demand from the United States, Europe, BRICS and other emerging markets.
India’s commerce minister Piyush Goyal met Thailand’s deputy prime minister and commerce minister Suphajee Suthumpun in New Delhi to discuss expanding bilateral trade, investment and the review of the Asean‑India Trade in Goods Agreement (AITIGA). The talks highlighted a record $20.93 billion trade flow in FY2025 and a widening Indian trade deficit of about $10.8 billion.
President Trump increased pressure on the Federal Reserve to lower interest rates, threatening trade cuts with countries with trade deficits.
High-level delegation may visit China next week; market access, trade deficit and investment curbs on agenda
