India's June trade deficit surged 430%, primarily due to increased imports of crude, gold, and fertilizers, influenced by West Asia crisis and price increases. Electronic goods imports also rose, supporting domestic manufacturing; the government removed duties on parts for high-end electronics. The author suggests localizing input production for supply chain security. Conversely, merchandise exports showed robust growth (15.5% in June, 16% in Q1), successfully diversifying globally. Service exports, however, grew modestly, necessitating vigilance against complacency to sustain India's competitive advantage.