India December trade deficit narrows to 25.04 billion dollars as exports defy expectations
India reported a 25.04 billion dollar trade deficit for December. This result outperformed economist forecasts as the nation navigates new trade pressures.
Insights:
India 
INrecorded a merchandise trade deficit of $25.04 billion in December 2025, according to government data released on January 15, 2026. This figure came in significantly lower than the $27 billion consensus forecast previously set by economists. The December results followed a merchandise trade deficit of $24.53 billion in November 2025. Merchandise exports for December reached $38.51 billion, an increase from the $38.13 billion recorded in November. Meanwhile, merchandise imports for the month stood at $63.55 billion, up from $62.66 billion in the preceding month.
INrecorded a merchandise trade deficit of $25.04 billion in December 2025, according to government data released on January 15, 2026. This figure came in significantly lower than the $27 billion consensus forecast previously set by economists. The December results followed a merchandise trade deficit of $24.53 billion in November 2025. Merchandise exports for December reached $38.51 billion, an increase from the $38.13 billion recorded in November. Meanwhile, merchandise imports for the month stood at $63.55 billion, up from $62.66 billion in the preceding month.The better-than-expected trade performance comes amid heightening global pressures after United States 
USPresident Donald Trump donald trumpraised tariffs on certain Indian goods to 50% in late August 2025. Despite these barriers, the export sector has shown resilience. Rajesh Agrawal rajesh agrawal, the Commerce Secretary of India, stated that exports to the United Stateshave grown on a year-on-year basis during the first nine months of the fiscal year. To mitigate the impact of external trade headwinds, Indiahas implemented a strategic push to diversify its exports toward China 
CN, Russia 
RU, and the Middle East, supported by government incentives.
USPresident Donald Trump donald trumpraised tariffs on certain Indian goods to 50% in late August 2025. Despite these barriers, the export sector has shown resilience. Rajesh Agrawal rajesh agrawal, the Commerce Secretary of India, stated that exports to the United Stateshave grown on a year-on-year basis during the first nine months of the fiscal year. To mitigate the impact of external trade headwinds, Indiahas implemented a strategic push to diversify its exports toward China CN, Russia RU, and the Middle East, supported by government incentives.
