India’s engineering exports recorded a robust 21% year-on-year growth in June, highlighting the sector’s resilience despite persistent global economic uncertainties, according to the Engineering Export Promotion Council (EEPC) India. The strong performance underscores the competitiveness of Indian engineering products and sustained demand across key international markets.
EEPC India Chairman Pankaj Chadha said the growth demonstrates the industry’s ability to navigate challenges such as geopolitical tensions, supply chain disruptions, fluctuating freight costs, and slowing economic activity in several major economies. The sector has continued to benefit from product diversification, market expansion, and improved manufacturing capabilities.
Engineering goods remain India’s largest merchandise export category, encompassing products such as industrial machinery, transport equipment, electrical machinery, automobiles and auto components, iron and steel products, capital goods, industrial equipment, and fabricated metal products. Strong demand from markets in the United States, Europe, the Middle East, Africa, and Southeast Asia contributed to the positive export performance.
Industry experts attribute the growth to increased global demand for high-quality engineering products, enhanced production capacity, and government initiatives aimed at boosting manufacturing and exports under programmes such as ‘Make in India’ and the Production Linked Incentive (PLI) scheme. Continued investment in technology, automation, and quality standards has also strengthened the sector’s international competitiveness.
Despite the encouraging June performance, exporters remain cautious about ongoing risks, including volatile commodity prices, geopolitical developments, trade policy changes, and currency fluctuations. EEPC India has urged continued policy support to improve export competitiveness, reduce logistics costs, and facilitate easier access to overseas markets.
Looking ahead, the engineering sector is expected to remain a key driver of India’s merchandise exports. Industry stakeholders believe sustained government support, expanding free trade agreements, infrastructure improvements, and growing global demand for engineering products will help maintain export momentum and reinforce India’s position as a leading global manufacturing and engineering hub.