Zero tariff on US imports could boost India electronics market

A chance to attract manufacturers away from China: Experts

- Jatin Grover

The US' MOVE to impose reciprocal tariffs is being seen by analysts as a strategic opportunity to attract electronics manufacturers from China to India. However, they said New Delhi can fully capitalize on this only if it reduces import duties on US electronics to zero, matching Washington's near-zero tariff.

Currently, India imposes a 16.5% basic customs duty (BCD) on electronics imports from the US, while the US levies a mere 0.4% duty on Indian exports. Lowering tariffs on US imports could make India an even more attractive destination for companies like Apple and Motorola to manufacture and export their products. Since the ongoing tariff war is primarily between the US and China, India could use this as an opportunity to attract manufacturers shifting away from China.