Our Bureau
Mumbai
Donald Trump, the President of the United States, has struck India heavily as he has decided to double the tariffs on India, moving it from 25% to 50% which will come into effect later this month on August 27th. Apparel, Textiles, Diamonds, gold, Carpets, Organic chemicals, furniture, shrimps, machinery and mechanical appliances are amongst those that will be the most affected by this increase in tariffs.
The apparel (knitted) products, that accounts for around 34.5% of the United States share in India’s exports, will be facing the highest total tariff payable at 63.9%. Then just below is the apparel (woven), that has a 32.2% US share in India’s exports and a total tariff payable of 60.3%. Even Textile (made-up) products which share a healthy 48.4% US share in Indian exports will be subject to a total tariff of 59%.
Organic chemicals that share a low 13.2% US share in Indian exports but surprisingly will be paying a highly total tariff at 54%. On the other hand, Carpets that have around 58.6% US export share in the country’s export and will pay the 52.9% duty on them. The furniture sector stands very close to them with 44.8% of US share in India’s exports and will pay a total tariff at 52.3%. Diamonds, gold, and related products that have around 40% US share in India’s exports will be facing total tariffs of 52.1%.
Trump announced this Wednesday, on 6th August, that he will be adding another 25% to the originally hiked 25% tariff that he announced a few days earlier. He stated that this was done as India has continued to buy crude oil from Russia. Trump has accused India of “fuelling the War Machine” against Ukraine.
