America's reprocal tariff given huge opportunity to this sector!
America announced to impose reprocal tariff on more than 180 countries around the world including India. However, only 26% tariff has been imposed on india compared to China-Vietnam and other countries of the world. President trump said that PM Modi is his good friend, but india has always been very tough with America and has not done well. Therefore, he has imposed a discounted tariff of 26% on India. In such a situation, while America has given a big relief by not imposing tariff on some sectors of india, on the other hand, it has given a big opportunity by imposing a minor tariff on some sectors compared to other countries of the world.
Big opportunity for India
According to TOI, agriculture economist ashok Gulati said that after Trump's new tariff announcement, india has the capacity to increase and maintain its agricultural exports to America. He suggested that the US has imposed heavy tariffs on its opposing countries. india must take advantage of this situation. Gulati said that the 26% discounted reciprocal tariff imposed by the trump administration will have less impact on important agricultural export items such as fish, rice against those regional opposing countries on which this heavy tax has been imposed.
The indian pharmaceutical industry on thursday expressed satisfaction that the US has decided to keep medicines out of the tariff. indian Pharmaceuticals Alliance Secretary General sudarshan Jain mentioned the strong India-US trade relations through Mission 500, which aims to take the trade between the two countries to $ 500 billion.
Textile and pharmaceutical industry benefit heavily
EY india Tax Partner Saurabh Agarwal said that India's pharmaceuticals sector is taking advantage of the exemption of reciprocal tariff. In such a situation, imposing tariffs on other countries has created a huge opportunity for this industry in India. He said that the tariff imposed on indian goods is much less than that imposed on china and Vietnam. Due to this, there is a tremendous opportunity for india from telecommunications to pharmaceuticals i.e. textile industry. It is worth noting that 10% baseline tariff will be imposed on all imported goods in the US, which will directly affect more than 180 countries. 34% tariff was imposed on countries like china, 20% on the european union, 25% on South Korea, 46% on Vietnam, 32% on taiwan and 10% tariff on Australia.
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