What Is the Top Export From India to the USA? Latest Trade Data Explained

India's exports to the USA are a vital part of the bilateral trade relationship, representing billions of dollars each year and spanning everything from high‑tech gear to precious gems. In 2024 the United States ranked as India’s third‑largest export destination after the United Arab Emirates and the United Kingdom, absorbing a diverse mix of goods that fuel jobs on both sides of the Pacific.

Quick Summary

• The single biggest export category from India to the U.S. in 2024 was pharmaceuticals, worth roughly $7.6billion.
• Gems & jewelry held the second spot, followed by organic chemicals, machinery, and apparel/textiles.
• Strong demand, favorable trade agreements, and a growing Indian middle class are the main growth drivers.
• Tariffs remain low for most categories, but regulatory hurdles can slow market entry.
• Exporters looking to expand should focus on compliance, branding, and supply‑chain reliability.

Why Trade Figures Matter

Understanding which products dominate the India‑U.S. export corridor helps businesses spot opportunities, policymakers design supportive measures, and investors gauge sector‑specific risk. For example, a surge in pharmaceutical shipments often signals increased R&D investment in Indian firms, while a rise in jewelry exports may reflect changing fashion trends in the U.S. market.

Top Export Categories in 2024

Below are the five product groups that generated the highest revenue when shipped from India to the United States last year.

Deep Dive Into the #1 Export: Pharmaceuticals

India exports to USA in the pharmaceutical sector have grown at a compound annual growth rate (CAGR) of about 9% over the past five years. The United States accounts for roughly one‑quarter of all Indian drug shipments, driven by strict FDA approvals and a persistent shortage of generic medicines domestically.

Pharmaceuticals-the leading export-are valued at $7.6billion in 2024, covering a mix of bulk active ingredients and finished dosage forms. Indian firms such as Sun Pharma, Cipla, and Dr. Reddy’s have established U.S. subsidiaries to navigate the regulatory landscape, making it easier for hospitals and pharmacies to source affordable generics.

• Key markets within the U.S.: California, New York, Texas, and Florida together consume over 40% of Indian pharma exports.
• Regulatory tip: Maintaining a clean FDA inspection record is essential; any warning letter can reduce shipments by 15‑20% within a year.
• Growth driver: The 2022 U.S. Generic Drug User Fee Amendments (GDUFAII) incentivized faster approvals, opening doors for more Indian manufacturers.

Second Spot: Gems & Jewelry

The luxury segment fuels India’s gems and jewelry exports. In 2024, Indian jewelers shipped $5.8billion worth of gold, diamonds, and silver pieces to American consumers, capitalizing on the U.S. market’s appetite for ethically sourced stones.

Gems&Jewelry benefits from the country's skilled artisans and a cost advantage of 30‑40% over Western producers. The rise of e‑commerce platforms like BlueStone and CaratLane, which ship directly to U.S. addresses, has widened the customer base beyond traditional wholesale channels.

• Major import hubs: New York City, Los Angeles, and Chicago, accounting for 55% of total volume.
• Regulatory note: The U.S. Customs and Border Protection (CBP) requires a comprehensive certificate of origin for gold items above $10,000.
• Trend: Sustainable, recycled‑metal designs are gaining market share, especially among millennial buyers.

Organic Chemicals: The Unsung Workhorse

Organic chemicals power countless downstream industries in the United States, from plastics to pharmaceuticals. India’s export value of $4.2billion in 2024 places this sector as the third‑largest contributor to the bilateral trade tally.

Organic Chemicals include specialty polymers, monomers, and petro‑chemical intermediates. Companies like Reliance Industries and Gujarat State Fertilizers leverage Indian feedstock costs to remain price‑competitive.

• Key buyers: Large U.S. chemical producers such as Dow and DuPont.
• Compliance: REACH‑like regulations are emerging in the U.S., prompting exporters to adopt greener production methods.
• Opportunity: Demand for bio‑based polymers is projected to rise 12% annually through 2028.

Machinery and Industrial Equipment

Machinery exports climbed to $3.9billion in 2024, driven by automation gear, textile machines, and agricultural equipment. Indian manufacturers such as Mahindra & Mahindra and Bharat HeavyElectricals have built U.S. distribution networks that provide after‑sales service-a critical factor for high‑value equipment.

Machinery sales often involve long lead times, so reliable logistics and spare‑part availability are decisive for winning contracts.

• Top sectors: Food processing, automotive assembly, and renewable‑energy installations.
• Tariff note: Most machinery falls under the USMCA‑friendly 0% duty line, keeping prices attractive.
• Trend: Smart‑factory solutions incorporating IoT are seeing a 15% uptick in orders.

Apparel & Textiles: From Cotton Fields to Runways

India’s apparel and textile shipments to the United States reached $3.5billion in 2024, making it the fifth‑largest export category. The sector benefits from a massive cotton base, low labor costs, and a reputation for high‑quality fabrics.

Apparel&Textiles include ready‑made garments, home‑textiles, and technical fabrics. Brands like FabIndia and Raymond have leveraged “Made in India” branding to attract eco‑conscious U.S. shoppers.

• Primary entry points: New York, Los Angeles, and Dallas.
• Regulation: The U.S. Federal Trade Commission (FTC) requires accurate country‑of‑origin labeling for textile products.
• Growth area: Sustainable fabrics (organic cotton, bamboo) are seeing a 20% year‑over‑year increase.

Emerging Players: IT Services and Automobiles

While not among the top five by value, two sectors are gaining traction. Indian IT services-ranging from cloud migration to cybersecurity-account for over $2billion in annual contracts with U.S. firms. Meanwhile, Indian automobile exports, especially small‑capacity two‑wheelers and electric scooters, are projected to double by 2027 as American cities adopt stricter emissions standards.

Both sectors illustrate how India’s export portfolio is diversifying beyond traditional goods, aligning with global shifts toward digitalization and green mobility.

How Exporters Can Capitalize on These Trends

1. Invest in compliance. Obtain FDA, CBP, or FTC certifications early to avoid shipment delays.
2. Build a U.S. foothold. Consider a sales office, partnerships with local distributors, or e‑commerce fulfillment centers.
3. Tell a story. Highlight sustainability, ethical sourcing, or Made‑in‑India craftsmanship-U.S. consumers respond to purpose‑driven branding.
4. Leverage trade agreements. The Generalised System of Preferences (GSP) offers duty reductions for many Indian products.
5. Monitor market data. Use tools like the U.S. International Trade Commission (USITC) database to track quarterly shifts and adjust pricing.

Potential Challenges to Watch

Even with strong demand, exporters face headwinds. Rising freight costs, post‑pandemic supply‑chain bottlenecks, and occasional regulatory changes can erode margins. Additionally, geopolitical tensions may trigger temporary tariffs or non‑tariff barriers.

Staying agile-by diversifying product lines, maintaining buffer inventory, and keeping a close eye on policy updates-helps mitigate these risks.