Engineering exports to West Asian countries decline

Engineering exports to the UAE and Saudi Arabia declined 15.8 % and 42.6 % in May 2025 compared with last May.

According to EEPC India, exports to the UAE in May 2025 were worth $ 683.38 million as against $ 811.2 million in May 2024 and shipments to Saudi Arabia last month were worth $337.11 million as against $587 million in May 2024. Exports to Turkey and Mexico also saw a substantial drop.

The EEPC trade analysis report says that while India’s engineering exports to the US and the EU grew, significant decline was noted in UAE, Saudi Arabia and Turkey, which were major markets for India. The decline was mainly due to the growing geo-political tensions in the area and the rising threat to logistics.

The global trade was currently going through a phase of uncertainty. The European Central Bank had revised the global trade growth down by 0.4% to reach 3.1%. The reason was mainly the growing geopolitical tensions across Middle East and West Asia, policy uncertainty in the US, and protectionist measures by some of the major markets. Support from the Ministry of Commerce and Industry would be crucial for the industry, especially in developing new technologies in upcoming areas, including rare earth magnets, and exploring new markets, the EEPC said.