Global automakers eye India as reciprocal tariffs on China raise vehicle costs in US

With higher tariffs on Chinese imports set to raise vehicle prices in the US, global automakers are likely to turn to alternative suppliers like India, said Nomura in its latest report.

- CORRESPONDENT

According to the report, the Indian auto part makers will gain traction amid the US-China trade tensions.

"The new tariff will lead to higher vehicle prices in the US and negatively impact demand in the short term. However, this will accelerate global Original Equipment (OEs) to look for other alternatives where Indian Auto part suppliers may stand to gain," the report added.