Artificial Intelligence (AI) has emerged as a critical driver of economic transformation and global trade competitiveness, particularly in emerging economies such as India. This study empirically examines the impact of AI adoption on India’s economic growth and trade performance over the period 2015–2025 using secondary data from government reports, policy documents, and international databases. The analysis employs descriptive statistics, correlation, and regression techniques to evaluate the relationship between AI investment, GDP growth, and exports. The findings indicate a substantial increase in AI adoption, with the AI Investment Index rising from 100 in 2015 to 300 in 2025, reflecting a threefold expansion. During the same period, exports increased significantly from USD 267 billion to USD 720 billion, while GDP growth remained relatively stable, averaging 6.9%. The correlation results reveal a strong positive relationship between AI investment and exports (r = 0.92) as well as GDP growth (r = 0.78). Regression analysis further confirms that AI investment has a statistically significant impact on economic growth (β = 0.018, R² = 0.61, p < 0.05) and trade performance (β = 2.05, R² = 0.78, p < 0.05). These findings demonstrate that AI-driven digital transformation enhances productivity, efficiency, and export competitiveness. The study concludes that sustained investment in AI infrastructure, skill development, and supportive policy frameworks is essential to strengthen India’s position in the global economy and achieve inclusive and sustainable growth.