US High Tariffs: America’s tariff policy against India is continuously gaining momentum. US President Donald Trump first imposed a 25 per cent tariff. After this, he announcedthato impose an additional 25 per cent tariff. America had said that it would impose this tariff on India’s oil trade with Russia. Its rates will be effective from August 27.
According to a media report, a high-level meeting is also going to be held on Tuesday by the PM’s office to assess the impact of the US high tariffs and review the steps regarding it. This meeting can be chaired by the PM’s Principal Secretary. The Indian government is also seen in action before the new tariff rates are implemented.
Government in action before the 50 per cent tariff is implemented
According to media reports, if Indian experts are to be believed, after the US tariff, the impact and its measures will be reviewed during this meeting. The Ministry of Commerce and Industry is already meeting with Indian exporters and the Export Promotion Council in this regard and consulting with them.
On one hand, the 50 per cent US tariff will reduce the profit of exports, while on the other hand, they will not be able to compete in the US market in important sectors like clothing, leather, chemicals and engineering goods.
Amidst the concerns of Indian exports and US tariffs, the Indian government has turned to Russia as well as other new markets. Apart from this, big announcements like the GST reform have already been made by the central government to consume goods domestically and boost the economy. Along with this, many other steps are also being considered by the government to help exports.
At the same time, according to a senior official of the Commerce Ministry, the government is completely serious about the export sector. To deal with the challenges posed by the US tariff, our priority is to find alternative markets and promote domestic consumption.