New Delhi [India]: India is set to be a major force in global trade expansion over the next five years, ranking third in absolute trade growth, according to the DHL Trade Atlas 2025 report.
The report predicts that India will contribute 6% of additional global trade during this period, behind only China (12%) and the United States (10%).
India’s Rising Role in Global Trade
The study highlights India’s growing prominence in international trade alongside other emerging economies like Viet Nam, Indonesia, and the Philippines. These nations are expected to rank among the top 30 countries in both trade speed and scale.
“During the next five years, India, Viet Nam, Indonesia, and the Philippines are forecast to rank among the top 30 for both speed and scale of trade growth. India also stands out as the country with the third largest absolute amount of forecast trade growth,” the report noted.
India’s Trade Performance in Recent Years
- In 2024, India was the 13th largest trading nation globally.
- From 2019 to 2024, India’s trade grew at a compound annual rate of 5.2%, far exceeding the global average of 2%.
- Macroeconomic stability and deeper global trade engagement have been key drivers of this rapid growth.
Shifting Global Trade Trends
A notable trend in the report is the increasing share of trade from nations that are not closely aligned with either the U.S. or China.
- This share rose from 42% in 2016 to 47% in 2024.
- Countries like India, the UAE, Viet Nam, Brazil, and Mexico have strengthened their global trade presence.
- Trade involving neutral countries—those that do not lean towards the U.S. or China—has also increased from 15.4% in 2016 to 17.5% in 2024.
India’s Future in Global Commerce
With strong economic fundamentals and increasing global integration, India is poised to continue its rapid ascent in world trade. The coming years will likely see the country solidifying its position as one of the fastest-growing trading nations globally.