# India's export surge and strategic manufacturing push > Live situation record from CLSTR: https://clstr.news/situations/indias-record-exports-and-wto-review > Updated: 2026-08-26T20:02:00.000Z. Sources: 48. Developments: 7. In late July 2026, India reaffirmed its commitment to a “transparent, rule-based multilateral trading system” during a WTO review, reporting record FY 2025-26 exports of $863.1 billion. By August 2026, specific sector data showed robust momentum. July 2026 merchandise exports rose 19.63% year-on-year to $44.24 billion, driven by petroleum products, electronics, and engineering goods. Engineering exports specifically reached $12.24 billion in July, marking the fourth consecutive month exceeding $10 billion. While the United States remains the primary market, shipments to China saw substantial increases, with engineering goods rising 32% and overall merchandise shipments up over 64% in previous months. However, a six-month high trade deficit of $31.98 billion occurred in July as imports rose 17.52%, fueled by crude oil—of which Russia supplied approximately 52%—electronics, gold, and fertilizers. Technology and manufacturing sectors continue to evolve. Software Technology Park (STP) exports are estimated to reach over Rs 7.73 lakh crore for FY 2025-26, though total STP investment has declined. In the electronics hardware sector, EHTP units increased to 79 in FY 2026. To sustain this, the Department of Commerce is focusing on industrial corridors and urging industries to utilize Free Trade Agreements to become “reliable partner[s] in global value chains.” Economic outlooks remain mixed. While infrastructure companies may see margin recovery in Q2 FY27, analysts warn that revenue tailwinds for exporters—previously bolstered by rupee depreciation and high prices in Q1FY27—are expected to fade in the second half of the year. ## Claims - India’s total exports reached US$863.1 billion in FY 2025‑26. (corroborated by 3 sources) - Merchandise exports were US$441.8 billion and services exports US$421.3 billion in FY 2025‑26. (corroborated by 3 sources) - FTAs with the UAE, UK, Australia and other partners expanded market access for Indian exporters. (corroborated by 3 sources) - The ASEAN‑India FTA generated US$38.42 billion in merchandise exports in FY 2025‑26. (corroborated by 2 sources) - Certificates of Origin issued under the India‑UAE CEPA rose to more than 4.45 lakh in FY 2025‑26. (corroborated by 2 sources) - More than 4.45 lakh Certificates of Origin have been issued under the India‑UAE CEPA since May 2022. (corroborated by 2 sources) - India’s textile and apparel exports rose to Rs 3.25 lakh crore in FY 2025‑26. (single source) - Defence exports increased to Rs 38,424 crore in FY 2026, with a target of Rs 50,000 crore by 2030. (single source) - India recorded a gross FDI inflow of US$94.84 billion in FY 2025‑26. (single source) - The Districts as Export Hubs programme will cover 120 districts in 27 Indian states. (single source) - India‑New Zealand FTA is expected to open a US$2 billion textile and apparel market for Indian exporters. (single source) ## Timeline ### 2026-08-26: India engineering exports rise 18% to $12.24 billion in July India's engineering exports grew 18% to $12.24 billion in July 2026, driven by strong demand from the US and China despite global logistics challenges. 2 sources. https://clstr.news/cluster/india-engineering-exports-rise-18-to-1224-billion-in-july ### 2026-08-20: India Commerce Ministry targets rapid export growth following manufacturing push India's Commerce Ministry is pivoting focus toward rapid export growth, urging industries to utilize free trade agreements and build resilient supply chains to strengthen its global manufacturing position. 3 sources. https://clstr.news/cluster/india-commerce-ministry-targets-rapid-export-growth-following-manufacturing-push ### 2026-08-17: India economic outlook: Infrastructure margins and export growth trends Indian infrastructure companies may see margin recovery by Q2FY27, while export revenue growth is expected to slow in H2FY27 as currency and price tailwinds fade. 10 sources. https://clstr.news/cluster/india-reports-growth-in-coconut-fisheries-and-export-sectors ### 2026-08-14: India technology exports grow in software and electronics sectors India's technology exports are rising, with STP unit exports projected to hit Rs 7.73 lakh crore in FY26 and EHTP electronics exports reaching approximately Rs 11,200 crore. 2 sources. https://clstr.news/cluster/india-technology-exports-grow-in-software-and-electronics-sectors ### 2026-08-12: India merchandise exports rise nearly 20% in July India's merchandise exports rose nearly 20% to $44.24 billion in July 2026, led by petroleum and electronics, despite a widening trade deficit driven by high import costs. 14 sources. https://clstr.news/cluster/bangladesh-development-programme-implementation-hits-53-year-low ### 2026-07-28: India's Record $863 Billion Export Surge Fueled by FTAs India’s FY 26 exports hit a record $863 bn, driven by FTAs with the UAE, UK, Australia, ASEAN and NZ; defence exports target Rs 50 k cr by 2030, and a new district‑export hub scheme aims to boost SMEs. 19 sources. https://clstr.news/cluster/indias-fy-202526-exports-reach-record-863-billion-amid-expanding-ftas ### 2026-07-22: India Highlights Record Exports and WTO Commitment at Trade Policy Review India’s WTO Trade Policy Review showcased record $863 bn exports, reaffirmed WTO commitment, faced WTO queries on PLI and tariffs, and its gem‑jewellery exports rose 26.5% to $2.21 bn in June. 9 sources. https://clstr.news/cluster/india-records-863-billion-export-milestone-at-wto-trade-review --- Cite as: India's export surge and strategic manufacturing push. CLSTR, https://clstr.news/situations/indias-record-exports-and-wto-review