India’s merchandise trade deficit narrowed to $24.53 billion in November, driven by a fall in gold, oil and coal imports, according to government export and import data released on Monday. The trade deficit was at $41.68 billion in the previous month of October and $17.06 billion in November 2024.
Overall trade, including merchandise and services, recorded exports of $73.99 billion in November 2025, up from $64.05 billion in November 2024. Imports during the period declined marginally to $80.63 billion from $81.11 billion.
Merchandise exports rose sharply to $38.13 billion in November 2025 from $31.94 billion a year ago, marking the highest level in over 10 years. Merchandise imports however declined to $62.66 billion in November 2025 from $63.87 billion in November 2024.
The services sector exports rised to $35.86 billion from $32.11 billion in November 2024. Imports increased marginally during the period, moving up to $17.96 billion from $17.25 billion.
Mexico joins US in imposing 50% tariffs on Indian goods
India is currently facing steep tariffs of up to 50% from the United States and is in talks with the US to negotiate a trade deal, with the expectation of a tariff reduction. Latest in the India-US trade deal- Prime Minister Narendra Modi spoke with US President Donald Trump last week following a US trade delegation’s visit to New Delhi.
On top of this Mexico also imposed 50% tariff on India among its other trade partners.
Rajeev Juneja, President of PHDCCI highlighted that the key drivers of merchandise export growth in November 2025 included iron ore (70%), cashew (57%), oil meals (40%), electronic goods (38%), and coffee (34%), among others.
Despite global headwinds, India registered positive export growth with 14 out of its 20 major trading partners, reflecting increasing diversification and resilience in external trade, Jueja added.
“Looking ahead, India’s exports are expected to continue on a resilient growth trajectory, supported by sustained government efforts to diversify export markets and enhance global competitiveness,” said Ranjeet Mehta, CEO & Secretary General of PHDCCI.
He noted, “The government’s Export Promotion Mission (EPM) and deeper engagement across regions, including the US, EU, Gulf Cooperation Council (GCC), and Asia-Pacific, will play a pivotal role in propelling India’s export growth.”
Government rolls out reforms to cushion tariff impact
The government has rolled out several measures recently, including GST reform, cutting taxes on a range of products, an export promotion package and labour reforms, to cushion the economy from the impact of steep US tariffs