India's exports to US may fall 30% to USD 60.6 billion this fiscal

The new US tariff regime excludes pharmaceuticals, energy products, critical minerals, and semiconductors.

- AGENCIES

The additional 25 per cent import duty announced by US President Donald Trump on Indian goods could lead to a 30 per cent decline at USD 60.6 billion in India's exports to America this fiscal, think tank GTRI said on Monday.

To help exports, it suggested the government to revive the interest equalisation scheme, create a helpdesk, use trade agreements strategically, and onboard new exporters.

India now faces a 25 per cent country-specific tariff and an extra unspecified penalty on its exports to the United States -- one of the highest among Asian exporters, second only to China at 30 per cent.

In contrast, competitors such as Vietnam (20 per cent), Bangladesh (18 per cent), Indonesia, Malaysia, and the Philippines (19 per cent), and Japan and South Korea (15 per cent) enjoy lower rates.

This puts Indian exports at a clear disadvantage across most sectors, barring a few exemptions, the Global Trade Research Initiative (GTRI) said.