HOW TO TRUMP TARIFFS

STEEP AMERICAN TARIFFS HAVE UPENDED INDIA'S EXPORT OUTLOOK, HITTING KEY SECTORS LIKE ENGINEERING GOODS AND AUTO COMPONENTS. CAN INDIAN COMPANIES CONVERT THE CRISIS INTO AN OPPORTUNITY?

- M.G. ARUN

EVERYONE KNEW THE DREADED TRUMP TARIFFS WERE COMING, but when they finally did arrive, there was mayhem all over. Equity and commodity markets crashed across the globe, major currencies fell vis-à-vis the dollar and talks of a global recession returned to the headlines. India, which less than two months ago had entered into a multi-sector partnership deal with the US-including plans to boost bilateral trade to $500 billion (Rs 43.4 lakh crore) by 2030-got away with relatively lower tariffs compared to some of its competitors like China and Vietnam. But that was hardly any solace. Across sectors, Indian businesses are busy assessing the damage the US tariffs could inflict-not just on their exports to the US, but also on markets worldwide that have been left rattled and could see slowing demand in the coming months. And though Trump has now given a 90-day respite, it has done little to alleviate the panic in the air, as industry associations huddle with government officials to gauge the depth of the impact and strategise for what promises to be a chaotic world trade scene.