Air cargo movement between India and the United States has plunged to its lowest level in nine years following steep tariff hikes by the Donald Trump administration, according to a media report citing official data.
Figures from the Directorate General of Civil Aviation (DGCA) show that India shipped 4,319 tonnes of goods to the US between January and June 2025, a sharp decline from 7,152 tonnes during the same period last year. Even at the height of the pandemic, freight volumes stayed between 5,000 and 9,000 tonnes, the data revealed. The last comparable dip occurred in 2016, when the figures hit 3,750 tonnes.
Industry experts say the tariff surge has crippled demand and forced exporters to shrink order sizes drastically.
Members of the Federation of Freight Forwarders Associations in India (FFFAI) noted that exporters are struggling to stay afloat amid higher costs and reduced buyer interest.
“When Trump took office, tariff rates initially rose by 25%. It later shot up by 50%, severely affecting key export segments. Handicrafts, one of India’s major exports to the US, have taken a severe beating,” said Rajesh Verma, vice-chairman of FFFAI.
A Punjab-based trader said that he has been forced to cut daily shipments of engineering tools from 30 orders to around 10-12, with “just a handful of buyers willing to purchase increasingly expensive goods.”
Dealers in gems and jewellery, textiles, readymade apparel, and perishable goods—which make up a major portion of India’s air freight to the US—have been among the hardest hit.
“Although pharmaceuticals have largely been spared for now, products like garments, diamonds, and engineering tools have been hit hard. Products that cost $100 earlier are now priced at approximately $150. Additional restrictions imposed by US authorities have slowed clearances and affected trade volumes,” said S. Anil Kumar, president of the Hyderabad Customs Brokers’ Association.
