'Nothing will harm India...', expert explains the math behind Trump's 15% tariff bomb
Following a Supreme Court ruling against his previous tariff policies, Donald Trump announced a new 10% global tariff, quickly increasing it to 15%, with experts suggesting minimal impact on India.
Donald Trump has once again stirred the pot of global trade with the introduction of a 10% global tariff, which he swiftly escalated to 15% after a recent loss against the US Supreme Court concerning his previous tariff initiatives. This decision has raised concerns and discussions around its potential impact on various countries, particularly India. However, financial experts are downplaying these fears, arguing that the implications for India may not be as severe as anticipated.
Samir Arora, the founder of Helios Capital, provided clarity on the matter, reassuring that India's economy is likely to remain stable despite Trump's tariff hike. He outlined that the introduction of a 15% tariff does not inherently pose a significant threat to India's economic standing. According to Arora, the structure of India's trade and the nature of its exports suggest that the country can absorb or navigate the challenges posed by these new tariffs.
The ongoing situation underscores the complexity of international trade relations and highlights the potential for misinterpretation of tariff impacts. While some industries may likely feel the pressure, the consensus among experts is that India's fundamental economic architecture remains resilient enough to withstand fluctuations induced by US tariffs. Consequently, this development seems to be more political theater than a direct threat to India's trade dynamics.