
Rajneesh Jha (Financial Wellness)
May 28, 2025 at 06:39 AM
*🇮🇳🇺🇸 India–US Trade Reality: A Game of Perception vs Truth*
*📌 US quietly earns $80–85 billion/year from India! 💸*
Let’s look at where this comes from 👇
Despite all the noise around a “$44.4 billion trade deficit,” the real picture is quite different—and India holds more cards than it appears.
Let’s break it down point by point 🧵👇
🔍 1. Reported Goods Trade Deficit: $44.4 Billion
•The US says it imports way more from India than it exports.
•FY25 numbers:
✅ India exported goods: $86.5B
✅ India imported goods: $45.3B
📊 So, India has a goods trade surplus of $41B.
BUT… that’s only half the story.
💻📚 2. Hidden US Surplus: $35–40 Billion!
GTRI (Global Trade Research Initiative) reveals that:
👉 When you add services, education, royalties, and defence, the US is actually earning more from India than it gives.
📌 US quietly earns $80–85 billion/year from India! 💸
Let’s look at where this comes from 👇
🎓 3. Indian Students = $25B Income for US
•2nd largest source of foreign students.
•Each Indian student spends: $87K–$142K/year! 😳
•Total = $25 billion
📍$15B on tuition + $10B on living expenses
🎯 Education is one of America’s biggest exports to India!
🌐 4. Big Tech = $20-25B
From Google, Meta, Apple, Microsoft, Amazon:
•Cloud 💾
•Ads 📢
•App store 💰
•Streaming 🎬
•Software & devices 🧠
➡️ Huge revenues, mostly taxed in the US due to weak data rules in India.
🏦 5. Finance & Consulting = $12-15B
•American banks + consultants (like McKinsey, Goldman, etc.) help Indian corporates.
•Earn from M&A, advisory, strategy, compliance etc.
🏢 6. GCCs (Global Capability Centers): $15–20B
•Indian tech hubs like Bengaluru & Hyderabad run backend for US companies.
•Work done in India, but profits booked in the US.
💊🎥 7. Other US Income from India
•💊 Pharma Royalties: $1.5–2B
•🚘 Auto patents & licensing: $0.8–1.2B
•🎞️ Hollywood + Streaming: $1–1.5B
•💣 Arms & Defence Sales: Undisclosed, but worth billions. Easily Around $5-10B yearly
⚖️ 8. What This Means for India 🇮🇳
✅ India isn’t “exploiting” trade.
✅ US earns more via soft channels: education, tech, finance.
✅ India deserves fair, reciprocal trade terms, not pressure to reduce tariffs.
https://x.com/rajneesh__jha/status/1927614004379148463?s=46