US President Donald Trump on Wednesday slapped India with additional 25 percent tariff, pushing a total tariff of 50% on Indian goods. The 25% extra tariff will be imposed from 27 August.
The move comes in response to what the US says is India’s continued purchase of Russian oil, which Washington claims undermines its national security and foreign policy.
In response, India on Wednesday reiterated that the latest tariff actions by US President Donald Trump are "unfair, unjustified and unreasonable".
Currently, there was a tariff of about 10% on Indian goods. Due to the new tariff, Indian goods will become expensive in the American market.
As per reports, India's exports to America in many sectors like jewellery are more due to the reduced tariff. Now exporters can increase their share in the rest of the world's markets.
As per reports, Indian exports to the U.S. total Rs 7.58 lakh crore. Out of Rs 7.58 lakh crore, Rs 1.78 lakh crore worth of these exports are now subject to the 50% tariff.
It means nearly 55% of India's exports to the U.S. will be impacted.
Export-dependent states like Punjab and Himachal Pradesh are expected to be impacted.
Pharma companies, may see up to 20% cancellation of orders due to loss of price competitiveness. Furthermore, SIP (Systematic Investment Plan) companies from these states are also at risk.
Continue reading below to know about the list of India items exported to the US and on which products Trump has slapped his 'unjustified' tariffs-
Jewellery, Diamond, Gold- 40% is India's Share in Global Export to US, Rs 87,730 (Export to US in Rs crore), 2.1% Previous Tariff, Total Tariff- 52.1%.
Machinery, Mechanical- 20% is India's Share in Global Export to US, Rs 58,779 (Export to US in Rs crore), 1.3% Previous Tariff, Total Tariff Now- 51.3%.
Steel, Aluminium – 16.6% is India's Share in Global Export to US, Rs 41,233 crore (Export to US), 1.7% Previous Tariff, Total Tariff – 51.7%
Textiles – 48.4% is India's Share in Global Export to US, Rs 25,319 crore (Export to US), 6.9% Previous Tariff, Total Tariff – 59.9%.
Clothes (Stitched) – 34.5% is India's Share in Global Export to US, Rs 23,687 crore (Export to US), 13.9% Previous Tariff, Total Tariff – 63.9%
Petroleum products -4.3 % is India’s Share in Global Export to US,
Rs 35,969 crore (Export to US in ₹ crore), Previous Tariff- 6.9%, New Tariff- 0.
Others – 19.8% is India's Share in Global Export to US, Rs 1.07 lakh crore (Export to US), Tariff data not specified
(Data source: GTRI)
