India's Export Challenges Rise Amid Global Trade Pressures

Indian exports are under threat from aggressive international trade policies such as U.S. tariff hikes and EU protective measures, warned a trade official. Limited global integration and high import tariffs hamper India's goal of $2 trillion exports by 2030, urging comprehensive trade policy reevaluation.

Indian exports face growing challenges triggered by aggressive trade policies from global partners, including the United States and the European Union. According to a senior trade ministry official, these policies are putting pressure on various sectors, highlighting the need for India to reassess its trade and industrial strategies.

Santosh Sarangi, head of the Directorate General of Foreign Trade (DGFT), cited the recent U.S. tariff hikes and initiatives such as the CHIPS Act as significant threats to Indian exporters. Sectors like automotive and agriculture are apprehensive about the proposed reciprocal tariffs by U.S. President Donald Trump, which analysts estimate could lead to substantial annual losses.

Despite recording growth, India's exports are overshadowed by a persistent trade deficit. The European Union's carbon tax and non-tariff barriers add to the woes, emphasizing the necessity to enhance export competitiveness and market diversification to achieve its $2 trillion export target by 2030/31.

(With inputs from agencies.)