India’s Exports to US Slump 37.5PC amid Trump tariffs: Export Collapse Exposes Modi Government’s Economic Failure

India’s repeated claims of economic growth under the Modi government have once again proven false. As per the Global Trade Research Initiative (GTRI), India’s exports to the United States fell by 37.5 per cent between May and September 2025, dropping from USD 8.8 billion to USD 5.5 billion. This sharp fall followed the tariff hikes by Washington under President Donald Trump’s trade policy. The data shows that India was completely unprepared and lacked the ability to protect its exporters.

♦ Broken Economic Promises:
The Modi regime’s slogans such as “Make in India” and “Atmanirbhar Bharat” have failed to make the economy stronger. Instead of building self-reliance, these campaigns have only exposed India’s weak trade systems and overdependence on foreign markets.

Trade Tariffs And Government’s Poor Response

♦ US Tariffs Hit Hard:
The US increased import duties from 10 per cent in April to 50 per cent by August, badly affecting India’s major export sectors. Other Asian countries adapted quickly, but India failed to respond. The lack of planning and slow action by the Modi administration made the situation worse.

♦ Failure To Protect Exporters:
Exporters faced heavy losses, yet the government remained silent. No real relief or credit support was provided. The Modi government’s reaction showed poor management and a lack of concern for industries suffering from this crisis.

Smartphone And Technology Exports In Sharp Decline

♦ Failure Of Manufacturing Policy:
Smartphone exports plunged by 58 per cent, from USD 2.29 billion in May to USD 884.6 million in September. This fall proves that the much-celebrated “Make in India” campaign has not produced real industrial strength. India still depends on imported components, making its technology sector weak.

♦ Industrial Weakness Exposed:
The fall in smartphone exports shows that India’s industries are unable to compete with nations that have better technology, logistics, and long-term policies. The government’s slogans of growth cannot hide the truth of a failing industrial base.

Gems, Jewellery, And Solar Industries Collapse

♦ Severe Losses In Key Sectors:
The gems and jewellery industry, especially in Surat and Mumbai, saw exports crash by 60 per cent as US buyers turned to Thailand and Vietnam. This has caused huge job losses and highlighted India’s falling competitiveness.

♦ Solar Panels And Metal Exports Drop:
Exports of solar panels fell by more than 60 per cent, while industrial metals and auto parts declined by 17 per cent. These sectors are vital to manufacturing, yet weak government policies and poor industry support have left them in ruins.

Pharma And Labour-Intensive Sectors Under Pressure

♦ Pharmaceutical Exports Decline:
India’s pharmaceutical exports, once a strong point, fell by 16 per cent during the same period. Poor regulation, lack of innovation, and weak quality control have harmed India’s reputation in global markets.

♦ Mass Job Losses In Other Industries:
Labour-heavy sectors such as textiles, chemicals, and agri-foods, which make up 60 per cent of India’s US exports, also suffered major losses. Millions of workers now face unemployment as small industries shut down without government help.

Economic Weakness And Lack Of Competitiveness

♦ Collapse Of Tariff-Free Trade:
Tariff-free exports fell by 47 per cent, revealing India’s heavy reliance on trade concessions rather than real competitiveness. The GTRI report said this decline shows the country’s lack of product diversity and its inability to adapt to global challenges.

♦ Structural Flaws In The Economy:
India’s production systems are outdated, infrastructure is weak, and policies are inconsistent. The Modi government has focused more on propaganda than on addressing these problems. These long-standing weaknesses have now led to a full-blown trade crisis.

Failure To Manage Economic Crisis

♦ No Relief Measures Taken:
Despite repeated warnings, the government did not offer credit lines, faster tax refunds, or interest support for exporters. Many small businesses were forced to shut down, showing the government’s indifference to real economic issues.

♦ Blame Without Action:
Rather than taking responsibility, officials blamed global markets for the fall. The crisis is the result of poor planning and years of neglect, not just international factors. This pattern of inaction reflects a leadership disconnected from economic realities.

Losing Ground To Other Countries

♦ Competitors Take India’s Market:
India is rapidly losing its position to Vietnam, Mexico, and China, which have already taken control of several export segments once dominated by India. These countries have better trade systems and stronger government backing.

♦ Global Reputation Damaged:
The export decline has hurt India’s international image. Investors and buyers now see India as unstable and unreliable. Under the Modi government, unpredictable policies and bureaucracy have made it harder for India to attract global trade partners.

Modi Government’s False Economic Image

♦ Data Exposes False Claims:
The 37.5 per cent drop in exports, along with 58 per cent fall in smartphone shipments and 60 per cent drop in jewellery exports, proves that India’s economic story is built on lies. The Modi government’s talk of progress does not match the collapsing reality of its industries.

♦ Propaganda Over Policy:
Instead of solving real economic problems, the government continues to celebrate empty achievements. The focus on speeches and political drama has replaced real development. India’s economy today reflects poor planning and misplaced priorities.

Conclusion: A Broken Economy Under Modi’s Rule

♦ Reality Behind The Decline:
The fall from USD 8.8 billion to USD 5.5 billion in exports between May and September 2025 clearly exposes the Modi government’s weak management. Major sectors like technology, gems, solar energy, and pharmaceuticals are collapsing. Millions are losing jobs, and India’s industries are losing trust in their own government.

♦ Need For Real Change:
India urgently needs strong reforms, fair trade policies, and honest leadership. Empty slogans will not fix a broken system. The Modi government’s arrogance and poor decisions have pushed the country toward economic decline. Unless India builds a real strategy to protect its industries, its dream of global leadership will remain an illusion.