India: Expanding US Trade Partner
India has emerged as a major beneficiary of global supply chain diversification. US imports from India crossed $130 billion in 2025, with strong growth continuing into 2026 across pharmaceuticals, textiles, engineering goods, and electronics.
Why India in 2026
- China+1 diversification strategy
- Production-Linked Incentive (PLI) schemes attracting manufacturing
- Improving infrastructure
- English-speaking workforce
- Strong pharmaceutical and IT service sectors
Major Indian Ports
Mundra (Adani)
- Largest private port, handles 30%+ of container volume
- Deep-water facility for megaships
- Direct services to US, Europe, Middle East
Nhava Sheva (JNPT)
- Mumbai area, India's largest government port
- Primary western gateway
- Established US services
Chennai and Ennore
- East coast gateway for southern industry
- Major for automotive and engineering
Kolkata and Vizag
- Eastern ports serving inland manufacturing
- Growing container capabilities
Transit Times to USA
- Mundra to NY via Suez: 25-30 days
- Mundra to LA via Pacific: 28-35 days (via Asia hub)
- Chennai to NY: 28-35 days
- Air freight Delhi/Mumbai: 3-5 days to US
Red Sea Crisis Impact
Since late 2023, Red Sea disruptions have forced many India-to-US East Coast services to route around Cape of Good Hope, adding 7-14 days transit. Some carriers have stabilized via restored Suez routes, but capacity remains tight. Check current routing when quoting.
Customs and Documentation
India Export Documentation
- Shipping bill filed with Indian Customs
- Export Declaration Form (EDF)
- Certificate of Origin (various forms by destination)
- Commercial invoice and packing list
- Bill of lading
- Drawback shipping bill (for duty refunds)
US Import Considerations
- GSP benefits expired (review status regularly)
- ADD/CVD on some steel, chemicals, shrimp
- FDA requirements for food/pharma
- USDA for agricultural products
Key Export Categories
- Pharmaceuticals: ~45% of US generic drug supply
- Textiles and apparel: Cotton, readymade garments
- Engineering goods: Auto components, machinery
- Gems and jewelry: Polished diamonds, gold jewelry
- Electronics: Smartphones (Apple expanding India production)
- Chemicals and agro: Basmati rice, spices, seafood
Cost Benchmarks
- Ocean freight: $2,800-4,800 per 40HC to US
- Air freight: $4-6 per kg standard
- Duty rates vary widely by HTS
- No Section 301 tariffs
Compliance Considerations
FDA-Regulated Products
- Prior Notice required
- Facility registration needed
- Strict documentation standards
Textile Programs
- Scheme for MSMEs (RoSCTL/RoDTEP)
- Forward integration incentives
- Cotton traceability increasingly required
2026 Opportunities
India-US bilateral trade discussions continue, with potential for expanded market access in specific sectors. Apple's expansion of iPhone production in Tamil Nadu illustrates the trend. Infrastructure investment under Gati Shakti is improving inland connectivity significantly.
Best Practices
- Partner with Indian CHA (Customs House Agent) for clearance
- Verify GSP eligibility when applicable
- Monitor Red Sea situation for routing
- Plan for monsoon delays (June-September)
- Consider regional manufacturing hubs (Gujarat, Tamil Nadu, Karnataka)
- Build relationships with multiple suppliers for capacity
