US President Donald Trump is going to make a big announcement about reciperook tariff tonight and he has named this day as Liberation Day. Trump recipes threaten to shake economies such as India, Mexico and Vietnam through reciperook tariff, which are very dependent on the US for business. Trump has directly threatened India by taking the name of India, he said that India is the most tariffs.
They have already implemented new import duty on goods coming from China, Canada and Mexico. Now his new announcements can affect India the most and a new trade war can start in the world with the new announcements of Trump.
India’s average tariff rate on America’s products was 17% in 2023. Which is the highest in the world. After India, Brazil is 11% on America’s products, China 8% and Mexico 7% average tariffs. On 3 February, Trump imposed 10% tariff on Chinese goods imports, which was later reduced to 20%. On March 12, he imposed 25% tariff on steel and aluminum imports. India’s average tariff rate is 17%, which is 5 times higher than the US. In such a situation, Trump can make a big announcement about tariffs on India.
Trump will announce a big announcement late at night
Trump will announce his new tariff scheme in the Make America Wealthy Again program at the White House. India is currently silent on this issue, but is working on its effective strategy. After the announcement of Trump, the same announcement will be made according to the need.
If Donald Trump changes the tariff according to different sectors, then it is possible that it will cause India’s minimum damage, because the US does not export items that India exports. Therefore, the policy of reciperook tariff will not be very effective here.
… then India will adopt a separate strategy?
If Trump recipes adopt another method of tariff and decide on the basis of total trade, then India may have to adopt a separate strategy. Because India exports about 3 lakh crores more than America and Trump can try to make up for it.
However, even if the trump recipes are put on tariff, it will not affect India’s exports immediately. Because suddenly the supply chain between two countries does not stop. Therefore, its effect can be seen later, but till then there can be a new agreement on trade between India and America.
Because the talks have started to carry forward the trade agreement in both the countries, even if there is any change in the tariff, India will get time to reduce or increase its fee according to America. Trump wants the goods that the US send to the Indian market, the fee should be cut on it. Trump considers India to be a high fee charge.
America objected to India’s trade rules
America also has objections to India’s many trade rules, they also want to sell America’s dairy products in India, but India does not allow it because of the use of non -vegetarian materials in the US animal. India imposes 100% tariffs on America’s agricultural products. Due to which it becomes almost impossible to sell American agricultural products in India. Trump’s colleagues have prepared a plan, instead of imposing separate tariffs on different products, are recommending a plan in which 20% tariffs are applied to all products.