India is poised to become the fastest-growing market for U.S. exports, according to a recent report by HSBC Commercial Banking, which cites the country’s emerging middle class as a key factor.
Released Nov. 13, the HSBC Global Connections report projects that exports to India will expand at a rate of about 12 percent a year between 2016 and 2020, and by about 10 percent annually between 2021 and 2030.
The report offers some positive news for other parts of the world as well.
Included in the report is the HSBC Trade Forecast which projects global trade trends for the next five, 10 and 15 years. It suggests that export growth in Europe will recover at a rate of 6 percent a year between 2012 and 2020.
The Trade Forecast also examined trade among 23 major trading nations. It projects that India, China, Vietnam, Indonesia, Egypt, Turkey, Mexico and Poland will see significant trade growth in the next three years. Vietnam’s trade growth, for one, is forecast to grow by double digits between now and 2013 and is “expected to become an increasingly important source of U.S. imports.”
“As our forecasts bear out, despite a difficult 2012, the global landscape is ripe with emerging markets on strong growth tracks,” Prabhat Vira, regional head of trade and receivables finance for HSBC said in a prepared statement. “U.S. businesses that are considering diversification will find themselves in an attractive position when looking at opportunities for solid international trade partnerships in regions like Brazil, India, Vietnam and Malaysia.”