US Imposes Massive 26 Percent Tariffs on Indian Imports Targeting Trade Imbalance and Nonreciprocal Practices Podcast Por arte de portada

US Imposes Massive 26 Percent Tariffs on Indian Imports Targeting Trade Imbalance and Nonreciprocal Practices

US Imposes Massive 26 Percent Tariffs on Indian Imports Targeting Trade Imbalance and Nonreciprocal Practices

Escúchala gratis

Ver detalles del espectáculo

Acerca de esta escucha

 Welcome listeners to another episode of India Tariff News and Tracker. The spotlight today is on the sweeping tariffs that have shaken US-India trade this April. On April 2nd, President Donald Trump unveiled a new reciprocal tariff plan, branding the date as “Liberation Day” for the United States. The Trump administration’s latest measures impose a 26 percent tariff on imports from India, marking one of the most significant hikes in decades, with the baseline for all countries set at 10 percent. However, India, alongside other targeted countries, faces much higher rates due to its trade surplus with the US and what officials describe as persistent nonreciprocal trade practices. According to the White House Fact Sheet, these tariffs are being implemented in two phases, with the 10 percent baseline effective since April 5th and the individualized, higher reciprocal tariffs coming into force shortly after.

The US Office of the Trade Representative released its annual National Trade Estimate Report just before these tariffs rolled out, highlighting India’s trade barriers. The report notes that India’s average Most Favored Nation tariff rate in 2023 was 17 percent, the highest among major economies, and particularly high on agricultural goods at 39 percent. Sectors most impacted by the US tariffs include automobiles, electronics, steel, and aluminum, with specific duties of up to 27 percent on many goods and 25 percent on autos, auto parts, and metals. Pharmaceuticals and semiconductors, which are crucial components of India’s US export portfolio, have been exempted from these hikes.

The implications for Indian exporters are mixed. Trade analysts at ClearTax point out that while sectors like automobiles and electronics will see significant cost increases, these only account for a small fraction of India’s total $437 billion in exports, with US-bound goods making up just 18 percent. Pharmaceuticals, a major Indian export to the US, remain shielded, and there’s speculation that Indian textiles could benefit as US tariffs hit competing countries harder.

These tariffs are being justified by the Trump administration under the International Emergency Economic Powers Act, citing the need to address the US’s persistent trade deficit and secure critical domestic industries. According to data compiled by the Yale Budget Lab, the new average effective US tariff rate has now reached 22.5 percent, the highest since 1909.

Finally, global trade is bracing for contraction, as the World Trade Organization forecasts a decline in 2025 stemming from the US tariff war, with ripple effects expected across major economies.

Thank you for tuning in to India Tariff News and Tracker. Don’t forget to subscribe for the latest updates on US-India trade dynamics. This has been a quiet please production, for more check out quiet please dot ai.

For more check out https://www.quietperiodplease.com/

Avoid ths tariff fee's and check out these deals https://amzn.to/4iaM94Q
adbl_web_global_use_to_activate_T1_webcro805_stickypopup
Todavía no hay opiniones