
Trump's tariff war: How India might avert damage
Live MintNew Delhi: India is preparing an action plan to steer clear of a potential trade war with the US, two people aware of the matter said. As the world’s fifth-largest economy, India is keen to avoid tariff hikes particularly on exports of garments, electronic goods, engineering products, and drugs and pharmaceuticals, among others, the two people said. Notably, India eliminated import duties on specific waste and scrap items in the Union budget, which amounted to $2.5 billion in US exports to India in FY24. “Despite Trump’s frequent criticism of India’s tariff policies, recent reductions suggest a shift towards facilitating US exports," Ajay Srivastava, founder of trade research organisation Global Trade Research Initiative. India’s exports to the US Textile exports to the US were valued at $11.76 billion in FY22, but saw a decline to $10.44 billion in FY23 and further dropped to $10.02 billion in FY24.
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