India hopes for easing of US tariffs on exports by November | Fusion - WeRIndia

Amid ongoing trade tensions between India and the United States, there is cautious optimism that the additional tariffs imposed on Indian exports may soon be lifted.

These tariffs, introduced by the U.S. in August at rates as high as 25%, have severely impacted key Indian export sectors such as textiles, processed foods, and light engineering.

As a result, Indian exporters have seen shrinking profit margins and declining competitiveness in global markets.

Speaking recently at a public event in New Delhi, India’s Chief Economic Adviser expressed hope that the duties could be removed within the next two months.

Although no formal announcement has been made, he suggested that recent diplomatic interactions have created a positive atmosphere.

According to him, the rollback of tariffs might take place by the end of November, though he clarified that this was his personal expectation rather than an official forecast.

India is also reportedly considering reducing its own retaliatory tariffs, which currently stand at 25%.

These could potentially be lowered to a range between 10% and 15%, depending on the outcome of ongoing discussions.

Government officials believe any resolution, if it happens, would likely take shape within the next eight to ten weeks.

This sense of cautious optimism follows a recent meeting between Indian and American trade officials.

India’s lead trade negotiator, Rajesh Agrawal, held talks with Brendan Lynch, the U.S. Trade Representative for South and Central Asia. This marked the first direct dialogue between the two sides since the U.S. announced the tariff hike.

The original decision by the United States to raise tariffs is believed to have been influenced by India’s continued energy-related dealings with Russia, despite calls from Western nations to scale back such partnerships.

Analysts also point out that political considerations within the U.S., especially ahead of upcoming elections, could play a key role in determining how the situation unfolds.

While India continues to pursue a diplomatic solution, it is also preparing for less favourable outcomes should talks stall or break down.

Until formal decisions are made, Indian exporters are expected to remain cautious and closely monitor any shifts in trade policy.

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