India's Engineering Exports Plunge 16.71% Amid US Tariff Woes

India's engineering exports fell by 16.71% year-on-year in October 2025, with significant declines in shipments to the US and ASEAN. The drop, led by US tariffs and high base effect, affected exports to 15 key markets, notably the UAE and EU, although some growth was noted in Saudi Arabia and UK.

India's engineering goods exports experienced a sharp 16.71% year-on-year decline in October 2025, as reported by the Engineering Export Promotion Council of India (EEPC) on Saturday. This downturn was mainly driven by plummeting shipments to the United States and the effects of a high base year. Engineering exports to several major markets recorded negative growth, with the ASEAN region experiencing nearly a 50% reduction to USD 1.02 billion, according to an EEPC statement.

In October 2025, exports to 15 of India's 25 primary engineering markets registered declines. Despite the U.S. being the leading destination, followed by the UAE and Germany, shipments to these countries fell compared to the previous year. However, Saudi Arabia and the UK saw modest growth in their engineering imports from India in October 2025 compared to the same month the previous fiscal year.

The North American and European Union markets remained the top export destinations, yet exports to these areas decreased for the second consecutive month year-on-year in October 2025. The decline extended to regions like WANA, South Asia, Latin America, and CIS. The US exports fell 14.5% due to Section 232 tariffs and reciprocal tariffs, dropping from USD 1.63 billion in October 2024 to USD 1.39 billion in October 2025.

(With inputs from agencies.)