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Engineering Sector Demonstrates Resilience: U.S. Exports Maintain Positive Trajectory Despite Tariff Headwinds

Agency Source: Economy News, Latest Economic News Today | The HinduBusinessLine Bureau Release: January 31, 2026 | 09:52 IST
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Intelligence analysis indicates that engineering exports to the United States sustained a positive performance in December, registering $10.98 billion in monthly shipments. This figure represents the second-highest monthly total recorded during the current fiscal year, signaling underlying sectoral strength. The marginal year-on-year growth rate, as noted by the Engineering Export Promotion Council (EEPC), is attributed primarily to a high base effect from the corresponding period in the previous fiscal cycle. This development is particularly noteworthy given the persistent tariff-related trade barriers and broader geopolitical tensions affecting bilateral commerce. The sustained export volume suggests that key engineering sub-sectors have successfully adapted to the altered trade landscape, potentially through product diversification, enhanced competitiveness, or supply chain realignments. This performance underscores a degree of resilience within the engineering export ecosystem, challenging expectations of a more pronounced downturn. Continued monitoring is warranted to assess whether this trend represents a durable adjustment or a temporary anomaly amidst ongoing economic recalibrations between the two nations.

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