India's Electronics Exports Soar 37.9% in 7 Months, Led by US and UAE Demand

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India's electronic goods exports have surged 37.9% to $26.29 billion in the first seven months of the 2025-26 fiscal year, driven primarily by the US, UAE, and China. The US witnessed a remarkable 135.9% increase in electronics exports to $12.08 billion, making it the top export destination in terms of absolute value. Certain electronics and smartphones are exempt from the 50% tariff regime on Indian goods imposed by the Trump administration, allowing Indian manufacturers to remain competitive in the US market. The UAE emerged as the second-largest export destination, registering a 62.6% annual growth to $2.30 billion. Exports to China also saw a significant year-on-year increase of 125.8%, reaching $998.98 million, driven by specialized components and intermediate electronic goods. However, the Netherlands suffered a decline of 42% in exports due to shifts in European inventory cycles and soft demand for high-value components. Monthly data revealed consistent growth across the first seven months of the current fiscal year, with exports increasing 39.5% in April, 53.99% in May, and 46.76% in June. While growth momentum moderated slightly in July and August, the sector regained momentum in September and October, indicating stable global demand and improved supply chain efficiencies. The strong performance of India's electronic goods sector signals demand recovery and the country's enhanced manufacturing capabilities under production-linked incentive schemes. With policy incentives, rising domestic production capacity, and strengthening integration with global supply chains, the sector is poised to remain a key driver of India's export growth through the remainder of 2025-26. India's electronic goods exports comprise items such as smartphones, consumer electronics, and semiconductor-linked components, which are expected to continue driving the country's export growth in the coming months.