Synopsis
According to Ashish Chauhan, the CEO of NSE, India has gained some relief from global tariff hikes compared to other nations. As discussions regarding tariffs with the US are expected, India aims to advocate for its interests while maintaining a competitive edge in certain sectors.Key Takeaways
- India's tariff situation is comparatively better.
- Future discussions with the US are anticipated to alleviate tariffs.
- India's exports to the US constitute around 4% of its GDP.
- Electronics and agriculture may benefit long-term.
- India has the lowest new tariffs among major Asian countries.
New Delhi, April 6 (NationPress) India has received a degree of relief compared to other nations, despite the recent increase in global tariffs, according to Ashish Chauhan, the Managing Director and CEO of the National Stock Exchange (NSE), speaking on Sunday.
In remarks to IANS regarding global market trends, Chauhan noted that while many countries have faced severe impacts from new tariffs, India's situation is comparatively favorable.
“Despite the recent tariff hikes, India has managed to secure some relief when compared to other countries,” Chauhan stated during his inaugural visit to the Vaishno Devi shrine.
He pointed out that several nations are poised to enter discussions with the United States in the near future to lessen tariff pressures, and India will also advocate for its interests.
“In the coming days, numerous countries are likely to engage in dialogues with the United States to alleviate these tariffs and present their respective positions — India will do likewise,” Chauhan remarked.
He mentioned that countries such as Pakistan and Bangladesh have traditionally kept lower tariffs to bolster their import-export sectors.
Chauhan’s statements resonate with a recent report from SBI Research, which indicated that India’s exposure to US tariffs is limited, as its exports to the US account for only about 4 percent of the GDP.
The report further emphasized that the new tariffs imposed on India are the lowest among significant Asian countries, providing India with a competitive advantage over competitors like China, Vietnam, Thailand, and Indonesia.
According to the SBI report, sectors such as electronics and agriculture stand to benefit in the long term from India’s tariff advantage, even though short-term hurdles persist for areas like gems and jewellery and engineering products.
"We anticipate that India will enjoy a competitive edge and an export-driven impact across various sectors," the SBI report stated on April 4.
India’s exports to the US have shown a downward trajectory since FY23, making up around 17-18 percent of total exports. The top 15 commodities exported to the US comprised 63 percent of total exports, the report highlighted.
