Pillow stuffing from Thailand and China faces dumping probe

India has launched an anti-dumping investigation on flexible slabstock polyol imports from China and Thailand amid allegations that low-priced imports are harming the domestic industry. The investigation follows a complaint by Manali Petrochemicals Limited, urging that China be treated as a non-market economy.

India’s steel imports could halve by FY26, as the government considers a 12% provisional safeguard duty on some steel products. This measure is anticipated to boost domestic manufacturers’ profitability and capacity utilization, with imports expected to decline significantly and domestic demand growing steadily.

India’s services sector is experiencing robust growth, with Commerce Minister Piyush Goyal urging the sector to aim for USD 450 billion in exports by next fiscal year, surpassing merchandise exports.

India’s limited exposure to US tariffs mitigates direct risks, but potential trade redirection could affect its steel and chemicals sectors, according to S&P Global Ratings. India’s exports to the US constitute 2.3% of its GDP. Despite projected economic growth slowing to 6.7% in FY25, India remains the fastest-growing economy in Asia-Pacific.

India has requested consultations with the EU at the WTO regarding the EU’s planned changes to safeguard measures on certain steel imports, which could affect India’s steel industry. The EU’s adjustments, set to begin in two phases, include a 25% out-of-quota duty until 2026 and alterations to residual quotas and quota caps.

Commerce and industry minister Piyush Goyal suggested India pursue bilateral free trade agreements with Mercosur members to circumvent stalled preferential trade talks. Goyal emphasized the need for swift negotiations and mentioned India’s concern about non-market economies, particularly China, leveraging the region as a trade route to India.

The 10th CII India-LAC Conclave emphasized the strengthening of India-LAC trade relations and highlighted potential areas for collaboration including agriculture, food security, renewable energy, and healthcare. Two MoUs were signed to enhance economic cooperation between both regions in various sectors.

Argentina is a major food supplier for India and aims to enhance energy security through partnerships. Bilateral trade reached $4.6 billion, notably in soybean and sunflower oil. Indian investments in Argentina’s mining sector, including lithium, copper, and gold, are expanding. Key agreements in oil and gas sectors are strengthening the strategic partnership.

India may not be severely impacted by Trump’s reciprocal tariffs set for April 2, as the specifics remain uncertain. Treasury Secretary Scott Bessent suggested potential delays and negotiations, giving India a chance to reach a trade deal and possibly avoid the tariffs.

India seems to be preparing for US President Trump’s upcoming tariffs on imports by partnering with Elon Musk’s Starlink Inc. The Modi government is shifting its trade approach to appease the US, potentially disadvantaging local industry giants who have thrived under protectionist measures.