Trump tariffs, slower global trade likely to slow India exports, says CEA Nageswaran

India’s Chief Economic Advisor, V Anantha Nageswaran, cautioned that the country needs to brace for potential increases in US tariffs and a slowdown in global export growth under the Trump administration. While acknowledging the challenges posed by these factors, Nageswaran highlighted the need for India to focus on domestic growth drivers and adapt to the […]

Speaking at a programme in Mumbai, he said: “India looks for equity, balance and fair trade when negotiating a FTA”. The country has implemented these agreements with countries, including Australia, and UAE, and is negotiating such pacts with nations such as the UK and European Union.

India’s exports faced challenges, but a late surge brought hope. October saw significant growth, driven by sectors like engineering and gems. However, competition from China and a widening trade deficit raised concerns. Despite this, India’s strong services trade and remittances are expected to keep the economy stable.

The UK and India will resume negotiations for a free trade agreement in 2024. This follows a pause due to elections in both countries. UK Prime Minister Keir Starmer, who met with Indian Prime Minister Narendra Modi at the G20 summit, stated that a trade deal would boost jobs and prosperity in the UK.

Senator Marco Dreosto highlights the potential of the India-Europe Economic Corridor (IMEEC) to reshape global trade. Dreosto emphasizes the historical ties between Italy and India, advocating for the Port of Trieste’s strategic role as a primary European terminal for IMEEC. He envisions joint ventures in third-country port sectors, aligning with Italy’s Mattei Plan for sustainable […]

Newly elected US Congressman Suhas Subramanyam has voiced his opposition to potential tariffs on Indian exports by the incoming Trump administration. Subramanyam believes such actions would trigger a trade war detrimental to both nations. He emphasizes the importance of US-India economic cooperation and plans to advocate for a reformed immigration system, including a path to […]

The Indian government is considering imposing minimum import prices (MIP) on certain textile products, including viscose rayon yarn and woven fabrics, to protect domestic industries from a surge in imports, primarily from China. The move aims to curb dependence on imports and address the growing trade deficit with China.

Joining RCEP could hinder India’s goal of becoming a top investment destination. Experts warn that it could lead to domestic capital flight and harm small businesses. India already has trade agreements with most RCEP members. The World Bank suggests focusing on internal reforms instead. India’s exports to China have not grown significantly despite existing agreements.

A new report by GTRI supports India’s decision to opt out of RCEP, citing concerns over widening trade deficits, particularly with China. The study argues that RCEP could harm domestic industries, especially MSMEs, and offers limited export gains, outweighing potential benefits like GVC integration.

India is proceeding with its free trade agreement negotiations with various countries and blocs, including the UK and the EU, according to a government official. Despite rumors of pauses, talks are progressing as planned, with a meeting between Indian and EU trade representatives scheduled soon.