Hoshiarpur/Daljeet Ajnoha/August 13
Amrit Sagar Mittal, Vice Chairman of ITL Group, has said that the steep 50% tariff imposed by the United States on Indian goods should be seen not only as a challenge but also as a chance for India to strengthen its trade resilience. In a conversation with senior journalist Sanjiv Kumar, Mittal stressed the urgent need to diversify export destinations, fast-track trade agreements with the UK, EU, Canada, and Australia, and boost domestic competitiveness through infrastructure upgrades, SEZ reforms, and targeted export incentives. “Every crisis carries an opportunity—India must turn this challenge into a catalyst for long-term trade resilience,” he remarked.
His comments come in the backdrop of US President Donald Trump’s decision to impose an average 50% punitive tariff on Indian imports, effective August 27. The move puts nearly $48 billion worth of Indian exports at risk, with the US accounting for 20% of India’s outbound trade and 2% of its GDP. Experts warn that the tariff hike will make Indian goods significantly more expensive in the American market, reducing their competitiveness.
While key sectors like pharmaceuticals ($10.5B), electronics ($14.6B), engineering goods and auto components ($9.3B), and petroleum products ($4.09B) have been exempted, agriculture, textiles, gems and jewelry, machinery, leather, and chemicals face steep duties—some as high as 64%—threatening severe export losses.
Trade analysts caution that competitors such as Vietnam, Bangladesh, and Mexico—benefiting from lower US tariffs or free trade pacts—are likely to capture market share from India. The absence of a comprehensive India-US trade agreement leaves New Delhi exposed to such unilateral measures.
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