Import partners and goodsIndia's imports and exports of goods to GDP stood at over 35 percent in 2023. The country's leading import partners were China, United Arab Emirates, the United States, Saudi Arabia, and Iraq. Despite China being India's largest trading partner, the recurring conflicts between the two have paved the way for deeper integration of trade and investment from the United States. Unsurprisingly, imports from the United States have been increasing over the years, amounting to over 47 billion U.S. dollars in 2022.
The country's leading import product was manufactures, which accounted for over 273 billion U.S. dollars, followed by fuel and mining products, and agricultural products. Due to the enormous demand in the energy sector, crude oil imports had been increasing over the years. India had a negative trade balance, where its imports surpassed its exports. However, all goods imported into the country are subjected to tariffs and tax rates based on the country of origin. The major import commodities are petroleum products, electronic goods, gold, and machinery goods.
Import trendsOver the years, it was evident that Indian exports were minimal compared to lucrative imports from the trading giant; however, stabilizing the economic partnership seems bleak. With the "Make in India" strategy, the government encouraged Indian companies to manufacture products. Despite the desi products being well received, the country still has a massive market for products made in the United States, Japan, and Germany.
Due to the impact of the coronavirus (COVID-19) on the Indian economy, industries and businesses were greatly affected. The rise in unemployment led to decreased incomes, and frequent domestic lockdowns drastically reduced consumer demand across the country. The major commodity affected by the pandemic were silver, fertilizers, sulfur, and iron pyrites.