Washington, May 6 : The United States trade deficit widened in March as imports outpaced exports, even as the American goods gap with India narrowed compared to the same period last year, according to official data.

The US Census Bureau and the Bureau of Economic Analysis said the overall goods and services deficit rose to $60.3 billion in March, up $2.5 billion from a revised $57.8 billion in February.

US exports in March stood at $320.9 billion, an increase of $6.2 billion from February, while imports climbed by $8.7 billion to $381.2 billion.

For India, the latest figures showed the US goods trade deficit with the country at $3.8 billion in March on a seasonally adjusted basis, lower than the $7.4 billion deficit recorded in March 2025.

The detailed country data showed US exports to India rose to about $4.3 billion in March, while imports from India totalled around $8.4 billion.

The report comes at a time when India and the US are engaged in negotiations over trade access, supply chains, technology cooperation and tariff issues, amid broader efforts to deepen economic ties.

The March increase in the overall US trade deficit was driven largely by a rise in the goods deficit, which increased $4.1 billion to $88.7 billion. The services surplus also widened by $1.6 billion to $28.4 billion.

Exports of industrial supplies and materials increased sharply by $5 billion in March, led by higher crude oil and petroleum product shipments. Crude oil exports alone rose by $2.8 billion.

Imports, meanwhile, were boosted by a surge in automotive products, consumer goods and capital goods. Imports of automotive vehicles, parts and engines increased by $3.6 billion, while passenger car imports rose by $2.8 billion.

Imports of computer accessories increased by $2 billion, reflecting continued demand for electronics and technology products.

The data also showed that the US goods deficit with China stood at $14 billion in March, while deficits with Vietnam and Taiwan remained significantly higher at $19.2 billion and $20.6 billion respectively.

India ranked among the countries with which the US recorded sizeable trade deficits, though the gap remained far smaller than those with China, Mexico and Vietnam.

Year-to-date, the US goods and services deficit declined by $211.2 billion, or 55 per cent, from the same period in 2025. Exports rose by $100.2 billion, while imports fell by $111 billion.

The report also noted that the average three-month US trade deficit fell to $57.6 billion for the period ending March, indicating some moderation despite the monthly rise.

India and the United States have steadily expanded bilateral trade over the past decade, with sectors such as pharmaceuticals, information technology services, electronics, energy and engineering goods driving growth. Washington remains one of Indiaâ??s largest export destinations.

Trade tensions, however, have persisted over tariffs, market access, digital trade rules and supply chain localisation. Both governments have recently intensified talks aimed at strengthening economic cooperation while reducing friction in strategic sectors including semiconductors, clean energy and advanced manufacturing.

/IANS