Shipments to China surged by 74% year-over-year to $361.47 million. Overall, India’s exports to China increased by nearly 37% in the fiscal year ending in March, totaling approximately $20 billion.
The surge in engineering exports acts as a cushion for India’s overall merchandise trade, which is under increasing pressure from rising freight, insurance, and transit costs due to shipping route disruptions in the Red Sea and Strait of Hormuz, exporters noted.
In the April-June period, the first quarter of the fiscal year 2026/27, engineering exports—which constitute over a quarter of India’s total merchandise exports—rose by 18.09% to $34.14 billion from $28.91 billion the previous year.
REMAINING RESILIENT
The United States continued to be the largest market for Indian engineering goods, with exports amounting to $1.95 billion for the month, while exports to Oman increased more than fourfold to nearly $259 million.
In June, engineering products made up 28.4% of India’s total merchandise exports, based on quick estimates provided by the government and cited by EEPC India.
The sector has demonstrated resilience despite trade flow disruptions caused by the situation in West Asia and the Middle East, stated EEPC India Chairman Pankaj Chadha.
“Engineering goods exports in the last three months of the current fiscal have remained above $10 billion,” Chadha remarked, emphasizing the necessity of continued government support to sustain growth amid emerging risks.
Exports increased across all regions in June, although there was a decline in shipments to the United Arab Emirates and Saudi Arabia. A notable rise in exports to Oman contributed to keeping engineering exports to the West Asia and North Africa region in positive territory, according to EEPC India.
India also experienced export growth to Turkey, marking a recovery from a significant drop last year.
Out of 34 engineering product categories, 27 reported year-on-year growth in June, while there were declines in lead and lead products, internal combustion engines, cranes, lifts, and office equipment, reported the EEPC.
