Export sectors
US President Donald Trump has announced a new tariff policy on 2 April. Under this, up to 27 percent tariffs will be imposed on Indian products. It also includes a universal 10 percent tariff, which will be effective from April 5. At the same time, 27 percent of the tariff will be applicable from April 9. This new tariff declared by the US is expected to affect many export sectors in India. These include products such as shrimp fish, carpets, gold jewelery, medical equipment. Let’s know in detail.
Shrimp fish
The US is the largest market for Indian shrimp fish and due to high tariffs, the Indian shrimp will become less competition in the US market. The US is already levying an anti-dumping and compensatory fee on the Indian shrimp. India sends 40% of its shrimp exports to the US, where its main competitions are Ecuador and Indonesia.
carpet
The US is the largest importer of carpets from India, which cost about $ 2 billion in FY 2023-24. The new tariff will affect this sector.
Gems and Jewelry
In the financial year 2023-24, India exported gems and jewelery worth $ 32.85 billion globally, with the US share 30.28% ($ 10 billion). The new tariff will have a significant impact on this sector. According to the Managing Director of Cama Jewelery, the gem and jewelery sector will be the most affected, with a fee on carried away from 0% to 20% and 5.5-7% on gold jewelery.
Medical equipment
The Association of Indian Medical Device Industry (AIMED) believes that the US imposing 27% tariff on medical equipment exports can create challenges for the growth of this sector. India’s medical equipment exports to the US in FY 2023-24 was $ 71 million 43.8 million.
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