Among the many main product teams, exports of ‘plane, spacecraft and components’ slumped by 85% and that of ‘ships, boats and floating constructions’ dropped by 25% year-on-year in Might 2025, which primarily induced the decline in total engineering exports.
Nation-wise evaluation confirmed a considerable decline in engineering exports to the UAE and Saudi Arabia in Might this 12 months.
India’s engineering exports to the US, high vacation spot amongst main exporting nations, remained constructive in Might 2025 with complete shipments rising 4.6% year-on-year to $1.74 billion.
Engineering shipments to China registered a 5.1% year-on-year decline to $207.36 million in Might 2025 as in comparison with $218.59 million in Might 2024.
Engineering items exports to nations comparable to Germany, the UK, Japan, Italy, Nepal, Brazil, South Africa, and the Netherlands confirmed constructive progress in Might this 12 months. Amongst key markets, engineering exports to Mexico, Turkey, and Vietnam registered detrimental progress.On a cumulative foundation, India’s engineering exports recorded 4.77% progress because it went as much as $19.40 billion through the April-Might interval of 2025-26 from $18.52 billion throughout the identical interval final fiscal.Commenting on Might commerce knowledge, Pankaj Chadha, Chairman, EEPC India, stated, in an announcement, “Whereas India’s engineering exports to the US and EU grew, a major decline was famous in UAE, Saudi Arabia, and Turkey, that are vital markets for India and have prominently in India’s high 25 locations. The decline could be defined by the rising geopolitical tensions within the space and the rising menace to logistics. Export of aluminium and its merchandise was additionally hit because of elevated competitors within the ASEAN area. Decline was additionally famous in exports of metals like zinc and lead, and plane, spacecraft, and components.”
The worldwide commerce is at present going by way of a part of uncertainty. The European Central Financial institution has revised the worldwide commerce progress down by 0.4% to succeed in 3.1%. They’ve additionally revised down the worldwide commerce progress in 2026 to 1.7% after which it’s anticipated to develop.
“The explanations behind this dismal commerce efficiency are defined by the rising geopolitical tensions throughout the Center East and West Asia, coverage uncertainty within the US, and protectionist measures by a number of the main markets. In these circumstances, India has to undertake a cautious method. The steering and help from the Ministry of Commerce and Business can be essential for the business, particularly in creating new applied sciences in upcoming areas, together with uncommon earth magnets and exploring new markets,” Chadha stated.
In Might 2025, as many as 26 out of 34 engineering panels witnessed constructive year-on-year progress, whereas 8 engineering panels, together with primarily non-ferrous metals like aluminium, zinc, lead, tin, machine instruments, plane and spacecrafts, ship and boats, witnessed a decline in exports.
On a cumulative foundation, 29 out of 34 engineering panels recorded constructive progress, and the remaining 5 engineering panels, together with aluminium merchandise, zinc merchandise, plane and spacecrafts, cranes and winches, recorded detrimental progress through the April-Might interval of 2025-26.
Area-wise, North America maintained its spot because the primary export vacation spot with a share of 21.3% adopted by the EU (17.7%) and WANA (14.3%) in Apr-Might 2025.
