Wednesday, September 3, 2025

India-US Economic Flows : Who earns more?

Figures 2024-2025. Sources : USTR, BEA, IIE Open Doors, World Bank, RBI, Statista, company reports. Corporate revenue growth projected based on past CAGR; digital/IP estimated from platform-level revenue disclosures (Google, Meta, AWS, etc.)

Flow Type
1. Goods (Exports & Imports)

India earns from US                            87 billion
US earns from India                            41 billion
Advantage                                           India (+46 B)

2. Services (IT, Consulting etc.)

India earns from US                           41.6 billion
US earns from India                           41.8 billion
Advantage                                           US (flat)

3. Company Revenues
    (Local Ops, Sales)

India earns from US                            40 billion
US earns from India                            81 billion
Advantage                                            US (+41 B) 

4. Students (Tuition & Living)             
    
India earns from US                                  -
US earns from India                             13 billion
Advantage                                             US (+13 B)

5. Digital/IP/Investment                 
 
India earns from US                                    -
US earns from India                              20 billion
Advantage                                              US (+20 B)

6. Defence & Aerospace                              

India earns from US                                     -
US earns from India                               2 billion
Advantage                                               US (+2 b)

7. Remittances from diaspora

India earns from US                                27 billion
US earns from India                                      -
Advantage                                                India (+27 B)

Summary. While India runs a clear surplus in goods and services, the dominance of the US companies operating in India is significant keeping the balance overall flat.

My take

This is why I say that US President Trump's monstrous tariffs don't hurt us in the real sense!


Tailpiece.

Got up a trifle late, sent all my morning messages, switched on the hymns on the home theatre, lit up the puja room lamp and opened up the house for the day.

Had breakfast before bath as it had to be warmed up and I did the needful.

Lekha had spruced me up followed by bath.

Lunch.

Siesta after watching television.

A quiet evening thereafter. 

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