Industry Leaders React to US Tariffs Announcement

Industry leaders in India have shared their perspectives on the recent announcement by US President Donald Trump regarding a 27 percent reciprocal tariff. They believe this move will significantly reshape global trade and manufacturing supply chains, yet the impact on India’s economy is expected to be marginal.

Assessing the Impact

Sanjay Nayar, President of ASSOCHAM, emphasized the need for a comprehensive evaluation to understand the full effect of these tariffs. "The tariffs announced by President Trump will undoubtedly trigger a realignment in global trade and manufacturing chains," he said. Nayar also noted that India's export competitiveness in the US market would likely face minimal disruption, urging industries to enhance export efficiency and add more value.

Looking Ahead

PHDCCI President Hemant Jain highlighted India’s industrial competitiveness as a balancing factor against the tariffs' effects, predicting only a short-term impact of about 0.1 percent on the nation’s GDP. In the medium term, any negative effects are expected to be mitigated as the policy’s full impact unfolds. Industry leaders remain optimistic about continued US-India collaboration, supported by a well-negotiated bilateral trade agreement.