US top engineering goods export destination in May: EEPC

CHENNAI: Indian engineering goods export body EEPC India on Thursday said the US was the top export destination in May, while shipments to China declined 52 per cent on-year.

As many as 18 out of the 25 major markets for Indian engineering goods recorded positive growth in May 2022.

India’s total engineering exports stood at $9.79 billion in May as against $8.62 billion a year ago, registering a rise of 13.5 per cent, EEPC said.

“The data shows exports of iron and steel and its products rose 16 per cent in May to $2.63 billion as compared to $2.26 billion. The trend in exports of non-ferrous metals and products were also positive during May with the total exports rising 21 per cent year-on-year to $1.31 billion,” the Engineering Export Promotion Council said in a statement.

Shipments to the US surged 63.2 per cent on-year to $1.81 billion in May as against $1.11 billion in the corresponding month of the previous year. Among other countries which recorded positive growth in imports from India in May include Germany, Singapore, UK, Italy and Thailand.

China registered a decline of 52 per cent in May to $217.4 million as compared to $451.7 million in the same month last year, the export body said.

Cumulative engineering exports for the first two months (April-May) of 2022-23 were recorded at $19.39 billion, a 16.84 per cent increase over $16.60 billion during the same period last year. “Although the trend looks impressive, some concerns are still there. One of the biggest concerns is the Russia-Ukraine war that has severely hampered shipments to CIS nations and that may have some ripple effect on the global economy.

“A resurgence of COVID and subsequent damage of business prospects in some industrial cities may also impact the global trade scenario adversely,” said Mahesh Desai, Chairman, EEPC India.