NEW DELHI— While the United States’ decision to impose a 25 percent tariff on Indian goods has raised concerns, industry leaders believe the move could become a catalyst for India to strengthen its global supply chain position.
Ranjeet Mehta, CEO and Secretary General of the PHD Chamber of Commerce and Industry (PHDCCI), emphasized that the new tariffs are part of a broader U.S. strategy affecting multiple nations, including China, Vietnam, and Bangladesh—some of which face even higher duties.
“The U.S. is recalibrating its trade policy, prompting a realignment in global supply chains,” Mehta said. “Although Indian MSMEs and industries may face short-term challenges, this shift opens long-term opportunities for India to become a trusted global partner.”
He noted that many international manufacturers are now actively exploring India as a stable and reliable base to diversify their supply chains.
Mehta also expressed optimism about ongoing India-U.S. trade negotiations, suggesting that a bilateral agreement could be finalized within two to two-and-a-half months, potentially softening the impact of the tariffs and paving the way for improved trade relations.
Ajay Rotti, a finance expert, echoed a measured outlook, stating that the U.S. tariffs are not finalized and negotiations remain underway.
“If implemented, sectors like textiles, pharmaceuticals, and jewelry could feel the pressure,” Rotti said. “However, national interest is paramount, and the Indian government has responded with that in mind. There’s no reason to be overly concerned at this stage.” (Source: IANS)
