India's trade deficit narrowed to $18.78 billion in June 2025, down from $20.84 billion in the same month last year, according to government data. Merchandise exports remained largely unchanged at approximately $35.14 billion, compared to $35.16 billion in June 2024. Imports declined by 3.71% to $53.92 billion from $56 billion a year earlier, driven by lower oil prices and reduced gold imports. Despite sluggish export growth, overall exports including services increased to $67.98 billion in June 2025 from $63.83 billion in June 2024. Overall imports including services also rose slightly to $71.50 billion from $71.14 billion. The narrowing trade deficit reflects easing pressures on the balance of payments amid ongoing global supply chain disruptions influenced by U.S. tariff policies.