U.S. Trade Deficit Widens in March as India Goods Gap Narrows
WASHINGTON — The U.S. trade deficit widened in March as imports rose faster than exports, even as the goods trade gap with India narrowed from a year earlier, according to official data.
The U.S. Census Bureau and the Bureau of Economic Analysis said the overall goods and services deficit increased to $60.3 billion in March, up $2.5 billion from a revised $57.8 billion in February.
Exports totaled $320.9 billion, an increase of $6.2 billion from February, while imports rose $8.7 billion to $381.2 billion.
For India, the latest figures showed the U.S. goods trade deficit at $3.8 billion in March on a seasonally adjusted basis, down from $7.4 billion in March 2025.
Detailed country data showed U.S. exports to India rose to about $4.3 billion in March, while imports from India totaled around $8.4 billion.
The data comes as India and the United States continue negotiations over trade access, supply chains, technology cooperation and tariff issues as part of broader efforts to deepen economic ties.
The March increase in the overall U.S. trade deficit was driven mainly by a larger goods deficit, which rose $4.1 billion to $88.7 billion. The services surplus widened by $1.6 billion to $28.4 billion.
Exports of industrial supplies and materials increased by $5 billion in March, led by stronger crude oil and petroleum product shipments. Crude oil exports alone rose by $2.8 billion.
Imports were lifted by higher shipments of automotive products, consumer goods and capital goods. Imports of automotive vehicles, parts and engines increased by $3.6 billion, while passenger car imports rose by $2.8 billion.
Imports of computer accessories also increased by $2 billion, reflecting continued demand for electronics and technology products.
The U.S. goods deficit with China stood at $14 billion in March, while deficits with Vietnam and Taiwan were larger at $19.2 billion and $20.6 billion, respectively.
India remained among the countries with which the United States recorded a sizable trade deficit, though the gap was far smaller than those with China, Mexico and Vietnam.
Year to date, the U.S. goods and services deficit declined by $211.2 billion, or 55 percent, from the same period in 2025. Exports rose by $100.2 billion, while imports fell by $111 billion.
The report also said the average three-month U.S. trade deficit fell to $57.6 billion for the period ending in March, suggesting some moderation despite the monthly increase.
India and the United States have expanded bilateral trade over the past decade, with pharmaceuticals, information technology services, electronics, energy and engineering goods among the major drivers. Washington remains one of India’s largest export destinations.
Trade frictions remain over tariffs, market access, digital trade rules and supply chain localization. Both governments have recently intensified talks aimed at strengthening economic cooperation while reducing tension in strategic sectors such as semiconductors, clean energy and advanced manufacturing. (Source: IANS)
