Summary
A 50 percent tariff imposed by U.S. President Donald Trump on Indian goods has taken effect, impacting trade and potentially thousands of jobs in India. The new tariff targets numerous sectors, including textiles and jewelry, while Indian pharmaceuticals are exempt due to their importance in the U.S. market. The Indian government is taking steps to boost domestic production and mitigate these effects.
Key Facts
- The U.S. imposed a 50 percent tariff on Indian goods, effective from Wednesday.
- Affected sectors include gems, jewelry, textiles, footwear, and chemicals.
- Indian exports to the U.S. could drop significantly from $86.5 billion to $50 billion by 2026.
- Indian pharmaceuticals, an important supplier to the U.S., are exempt from these tariffs.
- The Indian government aims to increase self-reliance and boost local production.
- India is implementing tax cuts and other measures to support affected industries.
