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Exports, Imports and Trade Balance
Key Trends
- In 2006, U.S. bilateral trade with India increased by 20 percent, exceeding $30 billion for the first time. The United States is India's largest trading partner, accounting for about 10 percent of India's trade. India is in the midst of a major and rapid expansion with economic growth rates exceeding 8 percent in each of the last three years, a population greater than 1 billion, and a middle class estimated to be nearly equal to the entire United States population.
- U.S. exports to India grew at an annual rate of about 25 percent during 2002-06, and 30 percent in 2006 alone. The largest increases in exports were for aircraft, gemstones, and fertilizers, which accounted for over 60 percent of the increase and 26 percent of total U.S. exports in 2006.
- U.S. imports from India grew at an annual rate of about 16 percent during 2002-06, and 16 percent in 2006 alone. Textiles and minerals and metals accounted for over half of U.S. imports from India in 2006. India has become a major manufacturer of gems and jewelry. Imports of these products increased nearly 40 percent in 2006. Special Economic Zones have fostered the industry and spurred exports to the United States and other markets.
Trade Shifts in 2006 from 2005
- U.S. trade deficit: Increased by $904 million (8 percent) to $12.6 billion
- U.S. exports: Increased by $2.1 billion (30 percent) to $9.0 billion
- U.S. imports: Increased by $3.0 billion (16 percent) to $21.7 billion
Government Resources
- Department of Commerce, Government of India
- U.S. Central Intelligence Agency: World Factbook
- U.S. Department of Energy, Energy Information Administration: Country Analysis Brief - India
- U.S. Department of State: Background Note - India