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Recent theoretical models predict that, in addition to industry adjustment across firms, trade liberalizations may invoke a reallocation of output within firms via changes in product mix. This paper examines firms ' product margin in India over the period of India's large-scale trade liberalization during the 1990s. On net, this margin is important as it contributes a quarter of total Indian output growth within the sample between 1989 and 2003. However, in contrast to evidence from the U.S, product churning—particularly the rationalization of products — is far less common in India. Firms do not appear to have adjusted their product mix in response to tariff declines on final goods. However, we do observe a robust relationship between tariff declines on intermediate inputs and an expansion in firms ' product scope, suggesting that intermediate inputs may be an important component of India's tariff liberalization