US Tariffs: A New Setback for Indian Exports
The US decision to impose an additional 25% tariff on Indian goods has significantly impacted Indian exports. This move, in retaliation for India's Russian oil purchases, affects 55% of Indian exports to the US. As a result, many sectors face competitive disadvantages as exporters seek alternative markets.
- Country:
- India
The latest tariff imposed by the United States, an additional 25% on Indian goods, has sent shockwaves through India's export sector. Many fear the repercussions, with 55% of India's exports to America now at risk.
The move, announced by US President Donald Trump, is a response to India's ongoing procurement of Russian oil. Critical sectors such as textiles, marine, and leather are expected to feel the brunt of this escalation as the overall levy reaches 50% on Indian products.
The Federation of Indian Export Organisations (FIEO) warns of potential fallout, with orders already on hold and export margins shrinking. As competitors from countries like Myanmar, Thailand, and China face lower tariffs, Indian exporters may need to explore new markets to remain viable.
(With inputs from agencies.)
ALSO READ
India-US Tensions: Tariffs, Trade Deficits, and Russian Oil
US Criticizes India's Russian Oil Purchases Amidst Ukraine Conflict
India Defends Russian Oil Purchases Amid Western Criticism
Trump's Tariff Hike: US-India Trade Tension Over Russian Oil
Trade Tensions Escalate: Trump Targets India Over Russian Oil Ties
Google News