too Early To Assess Impact Of Reciprocal Tariffs, Indian Exports Remain Resilient

India and nan US are continuing pinch negotiations for nan bilateral waste and acquisition agreement, pinch officials successful New Delhi noting that it is still excessively early to measure nan effect of nan projected reciprocal tariffs that US President Donald Trump has said will travel into effect from August 1.
 
“Apart from nan tariffs connected China, location are only announcements of nan US intent to levy reciprocal tariffs connected countries. They person not travel into effect, and nan comparative position for Indian exports has not changed arsenic of now,” noted charismatic sources, adding that nan effect of these will beryllium assessed arsenic and erstwhile they play out.
 
As of now, location is simply a 10% baseline tariff by nan US connected almost each countries, while its tariff connected Chinese equipment is astatine astir 55%. The US has besides levied sector-specific tariffs connected items including car components, steel, and aluminium.
 
“Recent US waste and acquisition information shows that nan import simplification is mostly successful these sectors and mostly for equipment from China. Overall, tariff collections by nan US person increased, but imports person not decreased for now,” officials noted.
 
But pinch concerns complete nan imaginable effect of nan US tariffs connected Indian exports, nan Department of Commerce is readying to commencement a world waste and acquisition watch from adjacent period that will show what is happening crossed nan world and really India should strategise pinch respect to its imports.
 
“India continues to do good successful exports, truthful authorities policies are having an impact, which has helped build resiliency successful exports and led to assured export markets,” sources noted.
 
As per provisional data, India’s merchandise exports remained almost level astatine $ 35.14 cardinal successful June 2025 from $ 35.16 cardinal successful June 2024, while imports decreased to $53.92 cardinal successful June 2025 from $ 56 cardinal successful June past year.
 
However, nan cumulative exports (merchandise and services) during April-June 2025 grew by 5.94% to an estimated $ 210.31 billion, arsenic compared to $ 198.52 cardinal successful April-June 2024.
 
Officials besides clarified that contempt announcements by nan US connected levying an further 10% tariff connected BRICS countries and abstracted tariffs connected those countries dealing pinch Russia, negotiations for nan India-US waste and acquisition woody proceed arsenic per nan position of reference that was decided earlier.
 
“The negotiations are successful advancement arsenic per nan determination of nan leaders and nan position of reference decided,” they said, adding that nan BTA is being negotiated arsenic per nan timeline decided successful February of nan first tranche being completed.
 
Expectations nevertheless proceed that a constricted woody whitethorn beryllium signed earlier nan extremity of nan month. A squad of charismatic from India are presently successful nan US and different information of negotiations to clinch nan woody are group to commencement from Wednesday.  
 
Chief negotiator of India and typical caput successful nan Department of Commerce, Rajesh Agrawal, will subordinate nan squad connected Wednesday. The four-day talks commencement connected Monday and will extremity connected Thursday.
 
Other waste and acquisition deals
 
Meanwhile, India is besides pushing up pinch waste and acquisition deals pinch different countries. While nan 2nd information of negotiations for nan India-New Zealand free waste and acquisition statement is presently underway successful New Delhi, nan 12th information of talks connected nan India-European Union FTA concluded past week successful Brussels. The adjacent information of discussions is scheduled for nan first week of September, erstwhile a delegation from nan EU will sojourn India.
 
“We person exchanged our offers connected services and non-services... There were discussions connected that. We besides discussed cardinal interests successful marketplace entree related to equipment arsenic well... The adjacent information of talks will beryllium held successful nan first week of September,” said L Satya Srinivas, Special Secretary successful nan Department of Commerce.

India is besides moving connected nan FTA reappraisal pinch ASEAN nations, wherever 9 rounds of talks person already taken place. The 10th information of talks is scheduled for August successful New Delhi. While location has been immoderate advancement successful areas for illustration customs, waste and acquisition facilitation, and method cooperation, much discussions are needed.

Published on: Jul 15, 2025 7:03 PM IST