US President Donald Trump’s decision to double tariffs on Indian-increased tasks has increased by up to 50 %, relations between two strategic partners and the threat of growth in the big economy creates the rapid growth of the world.
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The 25 % new amount, imposed in response to the purchase of Russian oil in India, is at the top of the previous 25 % tariff and now covers key products including clothing, precious stones and jewelry, shoes, sports goods, furniture and chemicals. Exporting groups warn that tasks can affect more than half of $ 87 billion in export exports to the United States and endanger small businesses and 2 million jobs.
New Delhi is investigating the measures for the cushion. Officials are negotiating with exporters about directing shipments to markets such as Britain, Australia, the United Arab Emirates and Europe, while financial support, including low -cost credit and possible loan deadlines. Analysts say weaker rupees can help restore some export competitions, but they call for wider economic reforms and less supportive trade stance to compensate for the impact.
Washington argues that India’s Russian oil imports help the Moscow war in Ukraine, a claim that India rejects as a hypocritical US and European trade with Russia. “Our concern is energy security,” said Young Foreign Minister Kiertan Wardan Singh. “We will continue to buy energy resources from any country that benefits us.”
Increased tariffs follow the five rounds of unsuccessful negotiations, and US officials refused with 15 % of the hats – the rate applied to other main business partners. Both sides blame political abuse for this failure. Their bilateral commodity trade in 2024 was $ 129 billion and US $ 45.8 billion.
The market reaction has been sharp. Indian stock criteria suffered their worst session in three months, and the Rupee fell to its lowest level in three weeks. Analysts warn that long -term tariffs can weaken India’s attractiveness as an alternative production hub for China, even if its diverse export base and solid domestic demand provide buffer.
Despite rising tension, India has stated that it is still committed to US participation, especially as both countries have strategic concerns about China.
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