India's Trade Strategy: Retaliation in Tough Tariff Talks

Experts suggest India should respond with equal measures if the US President Donald Trump enforces higher tariffs on Indian goods. They highlight India's past retaliatory measures and the need for balanced action to protect trade interests. Trump's policies may significantly affect various Indian sectors.

Trade experts urge India to be prepared if the newly elected US President Donald Trump imposes higher tariffs on Indian goods. Acknowledging past retaliations over similar situations, analysts stress the importance of equal responses to safeguard India's trade interests amid potential new challenges.

The Global Trade Research Initiative (GTRI) advocates for a strong stance against 'America First' policies, which may threaten key Indian sectors, including textiles and pharmaceuticals. With over 80% of India's IT export earnings sourced from the US, experts warn of potential negative impacts should visa rules tighten.

Despite Trump's criticism and tariff threats, some Indian exporters remain optimistic about improving trade relations, especially if US restrictions on Chinese goods offer new opportunities for Indian exports. As India's largest trading partner, the US market remains crucial, evidenced by the annual trade figures nearing USD 190 billion.