Air cargo between India and the United States has dropped to its lowest level in nine years following steep tariff hikes by the Donald Trump administration, reported New Delhi's Economic Times.

Data from the Directorate General of Civil Aviation show India shipped 4,319 tonnes of goods to the US between January and June 2025, down from 7,152 tonnes a year earlier. Even during the pandemic, volumes stayed between 5,000 and 9,000 tonnes. The last comparable dip was in 2016 at 3,750 tonnes.

Industry experts say tariffs have crippled demand and forced exporters to shrink order sizes. Rajesh Verma, vice-chairman of the Federation of Freight Forwarders Associations in India, said handicrafts exports have been badly hit after tariff rates rose first by 25 per cent and later by 50 per cent.

A Punjab trader said daily shipments of engineering tools had fallen from 30 orders to about 10-12, with few buyers willing to pay higher prices. Dealers in gems, jewellery, textiles, apparel and perishables have also suffered.

S Anil Kumar, president of the Hyderabad Customs Brokers' Association, said pharmaceuticals were largely spared but garments, diamonds and engineering tools were badly affected. He noted products once priced at US$100 now cost about $150, while added restrictions have slowed clearances and reduced trade volumes.