Significant Decline in India's Engineering Exports to UAE and Saudi Arabia Amid West Asia Crisis
West Asia crisis: Engineering exports dip 66.8% to UAE; 45% to Saudi Arabia in March
The Economic TimesImage: The Economic Times
India's engineering exports to the United Arab Emirates (UAE) dropped 66.8% to $237.4 million and to Saudi Arabia by 45% to $247.7 million in March 2026, largely due to the ongoing West Asia crisis affecting cargo movement. Despite this, overall engineering exports rose 1.13% to $10.94 billion.
- 01Engineering exports to the UAE fell by 66.8% to $237.4 million.
- 02Exports to Saudi Arabia decreased by 45% to $247.7 million.
- 03Overall engineering sector exports increased by 1.13% to $10.94 billion.
- 04The US remains the largest market for Indian engineering exports, with a 2.3% increase to $19.6 billion.
- 05The target for engineering exports is set at $250 billion by 2030.
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India's engineering exports faced a significant downturn in March 2026, with exports to the United Arab Emirates (UAE) plummeting 66.8% to $237.4 million and to Saudi Arabia falling 45% to $247.7 million. This decline is attributed to the ongoing West Asia crisis, which has disrupted cargo ship movements in international waters. Despite these losses in key markets, the overall engineering exports for March rose 1.13% to $10.94 billion. For the fiscal year 2025-26, engineering sector exports reached $122.43 billion, marking a 4.86% increase, with ambitions to reach $250 billion by 2030. The US continues to be the largest consumer of Indian engineering products, with exports increasing by 2.3% to $19.6 billion. Other notable markets include Germany, the UK, China, and South Korea, all showing positive growth in exports.
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The decline in exports to major markets like the UAE and Saudi Arabia could affect Indian manufacturers and the overall economy, particularly in the engineering sector.
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