Gold Price Today: These days, there is a situation of tension between America and India due to tariffs. Opposing the purchase of oil from Russia, US President Donald Trump has created a stir by announcing a 50 per cent tariff on India. After Donald Trump first imposed an additional 25 per cent duty on Indian imports, and the trade tension increased, there has been an increase in the price of gold and silver.
Anyway, America is considered to be the biggest market for the jewellery industry. $9-10 billion worth of exports are made to America. Along with this, 30 per cent of the jewellery is exported to America. Exports with a 50% tariff are not possible for the industry. In such a situation, how much impact will the 50 per cent tariff imposed by US President Donald Trump on India have on the jewellery sector? You can take a look below, where your confusion will end.
Jewellery business of India and America
The jewellery business of India and America is considered to be very big. In the financial year 2023-24, $ 89.12 billion worth of gems and jewellery is imported from the rest of the world, while $ 9.95 billion worth of gems and jewellery is imported from India. Along with this, $ 11.58 billion worth of gem jewellery is imported from India in the calendar year 2024.
Along with this, if we look at India’s export figures to the US, then cut-polished diamonds are exported to the US for $5.6 billion. At the same time, gold studded jewellery is exported for $2.55 billion, gold plain jewellery for $267 million, lab-grown diamonds for $831 million and silver jewellery for $320 million.
At the same time, according to Colin Shah, ex-chairman of GJEPC, Donald Trump’s announcement has shocked the industry a bit. Even if a 25 per cent tariff is imposed, there will be a decline in business. Exports to the US have already come down by more than 50 per cent. The month of August is likely to be bad for the industry. Jewellery exports have fallen by 50 per cent in Q1.
Trump is making big decisions.ns.
These days, a rift is growing in the relations between India and America. Donald Trump is very angry with India’s direct Russia oil deal. According to him, India should end the oil deal with Russia. India has clearly stated that it will not stop buying oil from Russia under US pressure.