According to reports, an Indian government official said Bloomberg News on Sunday that his government is “unlikely to take reprisals immediately against the tariff imposition of President Donald Trump.”
On the other hand, New Delhi hopes to make an agreement to reduce rates and commercial barriers on both sides, according to the media. The unidentified bureaucrat said India’s desire to seek “dialogue and non -confrontation” and “work towards a balanced and equitable commercial agreement with the United States”
The South Asia Nation was affected with a rate of 26 percent last Wednesday, plus the standard in the percentage applied to all other countries, when President Trump revealed Its tax schedule against foreign nations worldwide. Bloomberg He described the rate as a “setback” for Prime Minister Narendra Modi, who had already made commercial concessions significantly to the United States after Trump’s re -election.
Trump and Modi announced They were working on an important bilateral commercial agreement after Modi made a friendly visit to Washington in February. Trump also said that he wanted India to become one of the few countries outside the North Atlantic Treaty (NATO) that could buy the advanced F-35 Fight Jet plane. The two leaders spoke of each other as friends with a “special link.”
India still ended with tariffs last Wednesday, but were considerably lower than the rates announced for most other Asian nations. In addition, New Delhi enjoyed a total rate much lower than 54 percent of Trump raised against the main regional rival of India, China.
Beijing responded with immediate anger and action to tariffs, which makes Trump threaten Monday to increase China’s rate by another 16 percent. All this is probable music for New Delhi’s ears, just although Indian exhibitors are still concerned about their own rates.
NDTV SAW “Panic” and “Gloom” in the capital markets of India over the weekend. But there was also optimism about a “surprise advantage” thanks to the even high rates that Trump slapped competitors such as China, Vietnam and Indonesia.
The bilateral agreement that India was already negotiating with the Trump administration could provide another significant advantage. NDTV’s sources felt it was a “wise work” for India to refrain from a retaliation action and maintain the treatment in a fast track. These sources also felt that Indian exporters could find other buyers to relieve the pain of American tariffs, and praised Modi’s economic initiatives for making India’s economy strong enough to resist commercial fluctuations.
“The new business models and policies will arise from this global tariff war. Even the duration of a global disaster such as Pandemia, India managed to find opportunities,” said Ranjeet Mehta, CEO of the Chamber of Commerce and PhD Indian), an organic date that is not without trade.
“India is a very large market of 1.4 billion people. Our consumption is huge. India remains the fastest growing economy in emerging markets. But we must look at new opportunities and create new models. We must create a new ecosystem that will strike us”, “”, “,” “” “
The Federation of Indian Export Organizations, an agency established by the Indian Government in 1965, estimated that Trump tariffs could create $ 50 billion in opportunities for Indian export companies during the next two or three years. Garment manufacturers seem especially positioned to benefit from high tariffs against competitors such as China and Bangladesh.
On the other hand, the Bank of the Reserve of India (RBI) My dear That the economic growth of India could slow down between 20 and 40 basic points during the next year due to tariffs, which can lead to more interest rate cuts. The Central Bank of India reduced interest rates for the first time in five years in February.
The economic growth of India reached a minimum of four years of 6.5 percent in the last fiscal year, largely due to high inflation and the reduction of the demand for urban areas. The government responded with tax cuts and a more flexible monetary policy to increase demand.
He Economic times or India recently noted That new Delhi still takes much higher rates than Washington in many products, including passenger, apples, rice and internet network equipment, such as switches and routines.
