Author: Aadarsh Patel | EQMint
As India hosts the 18th BRICS Summit in New Delhi, a major economic challenge is drawing attention: India’s trade deficit with BRICS countries has widened sharply even as overall trade with the bloc has more than doubled over the past five years.
Fresh trade data shows India’s trade deficit with BRICS countries reached around $226.1 billion in FY2025-26, while total trade with the bloc stood at approximately $417.5 billion.
India’s BRICS Trade Crosses $400 Billion
India’s total trade with BRICS nations has grown significantly, rising from around $203 billion in FY2020-21 to $417.5 billion in FY2025-26.
However, the increase in trade has been accompanied by a much larger gap between imports and exports, creating a significant trade deficit for India.
The numbers highlight the challenge for India as it seeks to use the expanded BRICS grouping to increase trade and economic cooperation while also protecting domestic manufacturing and reducing import dependence.
China Remains a Major Trade Challenge
China is one of the biggest contributors to India’s trade deficit within the BRICS grouping.
India imports a large volume of electronics, machinery, chemicals, and other manufactured goods from China, while Indian exports to the country remain comparatively lower. This imbalance has made China a key focus of India’s efforts to expand exports and diversify its supply chains.
The issue has become particularly relevant as Chinese President Xi Jinping arrives in New Delhi for the BRICS Summit and bilateral talks with Prime Minister Narendra Modi.
Russia and Energy Imports
Russia is another important part of India’s BRICS trade equation, particularly because of energy imports.
India has significantly increased its purchases of Russian crude oil, making energy a major component of bilateral trade. Russian oil has helped India manage energy costs, but the relationship has also attracted greater geopolitical and trade scrutiny.
At the BRICS Summit, India and Russia are expected to focus on trade, energy, defense, and other strategic areas.
BRICS Trade Deficit: Key Numbers
| Particular | Figure |
|---|---|
| India’s Trade With BRICS | $417.5 billion |
| Trade in FY2020-21 | Around $203 billion |
| India’s BRICS Trade Deficit | $226.1 billion |
| BRICS Members | 11 countries |
| BRICS Summit 2026 | September 12–13 |
| Host Country | India |
The figures show that India’s trade relationship with BRICS has expanded rapidly, but the growth has been tilted towards imports.
What India Wants From BRICS
For India, the summit is not only about increasing trade volumes. New Delhi is also looking to make trade more balanced by increasing exports, strengthening manufacturing, and improving access to markets across the Global South.
India is also pushing areas such as technology, energy security, resilient supply chains, and greater economic cooperation among developing economies.
The broader BRICS agenda comes at a time of significant global uncertainty, including geopolitical conflicts, energy disruptions, and changes in international trade.
India-China Trade in Focus
Xi Jinping’s visit adds another important dimension to the summit.
India and China have a large bilateral trade relationship, but the imbalance remains a major concern for New Delhi. Recent data shows bilateral trade has reached around $151 billion, while India’s trade deficit with China remains at record levels.
Improving market access for Indian products and reducing excessive dependence on imports could therefore become an important part of India’s longer-term economic strategy.
Energy Security Also on the Agenda
Energy is another major economic issue for India as it navigates relationships with Russia and other BRICS members.
Russia remains a major source of crude oil for India, while the expanded BRICS grouping also includes major energy producers and exporters in the Middle East.
This gives India an opportunity to strengthen energy partnerships and diversify supply sources while continuing to focus on affordable and reliable energy for its economy.
EQMint Take
The BRICS Summit 2026 comes at an important point for India’s trade strategy. India’s trade with BRICS countries has grown to around $417.5 billion, but the $226.1 billion trade deficit shows that higher trade volumes alone are not enough.
India’s bigger challenge is to make this trade more balanced by increasing exports, strengthening domestic manufacturing, and reducing excessive dependence on imports.
With China, Russia, and other major emerging economies at the table, the summit could provide India with an opportunity to push for stronger market access, resilient supply chains and more balanced economic partnerships.
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