Skip to content

India’s Electronics Exports to the US: Market Share and Tariffs

7 March 20251 min read
ECONOMYIndia’s ElectronicsExports to the US:Market Share andTariffs7 March 2025safalsetu.com

Why in the news

India wants a bigger slice of US electronics demand through a proposed BTA, using shifting US tariffs as an opening.

Key facts

  • Focus: smartphones, air conditioners, colour TVs, wearables, audio.
  • 2023 exports: $10 billion, or 1.9% of US imports.
  • Mexico lost FTA benefits, helping India in desktops, servers, TVs and ACs.
US imports 2023Total ($B)Top supplier
Smartphones60China (75%)
Switching and routing51Vietnam (21%)
Laptops and tablets46.3China (77%)
Desktops and servers37.1Mexico (67%)
Air conditioners14Mexico (48%)
Wearables and audio12.4China (43%)
Colour TVs12Mexico (76%)

India’s strategy

  • Seek zero duty for smartphones, as the US lacks local manufacturing.
  • Cut tariffs on colour TVs and air conditioners.

Exam angle

  • BTA = Bilateral Trade Agreement.

Test yourself

1. What share of the US's electronics imports did India account for in 2023, per the BTA discussion?

India accounted for only 1.9% of the US's $520 billion electronics imports in 2023.

2. Which country lost its FTA benefits and now faces a 25% US tariff, creating an opening for Indian electronics?

Mexico lost its FTA benefits and now faces a 25% tariff.

3. In the US electronics import data for 2023, which country led in smartphones with a 75% share?

China supplied $45 billion, a 75% share, of US smartphone imports.