Geopolitical tensions seem to have affected India’s engineering exports in May although their share in the country’s overall merchandise exports saw a growth during the period.
The Engineering Export Promotion Council (EEPC) of India said in a statement that India’s engineering exports had conceded a marginal fall of 0.82 per cent year-on-year to USD 9.89 billion in May due to a higher statistical base and geopolitical tensions in West Asia.
However, the share of engineering goods in the country's overall merchandise exports increased to 25.53 per cent during this period, it added.
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While India's engineering export shipments to the US, a top destination among major exporting countries, grew 4.6 per cent to USD 1.74 billion year-on-year, shipments to China saw a decline of 5.1 per cent year-on-year to USD 207.36 million as compared to USD 218.59 million in May last year.
To countries like Germany, the UK, Japan, Italy and Italy, engineering goods exports showed positive growth in May this year, while shipments to Mexico, Turkey and Vietnam showed negative growth.
On a cumulative basis, India's engineering exports recorded 4.77 per cent growth at USD 19.40 billion during the April-May period of 2025-26 as compared to USD 18.52 billion in the same tenure previous fiscal, the statement said.
EEPC India chairman Pankaj Chadha said going forward, government support would be crucial for developing technologies like rare earth magnets and exploring new markets to boost engineering exports.
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