Trump’s tariff’s would hurt Indian markets but THESE goods will get cheaper, iPhone, Harley Davidson bike will cost Rs…

US President Donald Trump was warned that the US will impose reciprocal tariffs on India, means Washington will impose the same import duty on Indian goods which New Delhi has imposed on American imports.

Trump Tariffs: US President Donald Trump has announced reciprocal tariffs on goods coming into America from other nations, including India, essentially triggering a tariff war that could change the face of global trade. Trump’s tariffs, which will come into effect from April 2, will undoubtedly hurt Indian markets, but on the flip side, American goods like iPhones, Harley Davidson motorbikes, laptops, etc will get cheaper, providing quality goods to Indian consumers.

Why American-made goods will get cheaper?

Donald Trump was warned that the US will impose reciprocal tariffs on India, means Washington will impose the same import duty on Indian goods which New Delhi has imposed on American imports. Currently, India imposes up to 110% import duty on American goods, and Trump wants New Delhi to drastically cut down these ‘exorbitant’ tariffs, which enable US-made goods to compete with indigenous products as latter will be available at cheaper prices.

What products will become cheaper?

If New Delhi and Washington work out a new trade deal, India may reduce import duty on American products including electronic gadgets, steel, engines, tires, spare parts, medical equipment, as well as some food items like almonds, walnuts, wine. This means that popular gadgets such as Apple iPhones, laptops, and smartwatches, as well as spare parts of vehicles and healthcare products, could become cheaper in India.

Additionally, premium motorcycles like Harley Davidson will also become cheaper as India currently imposes a 100% percent import duty on US automakers. In the electronics sector, products of popular US tech giants like Apple, Dell and Hewlett-Packard, could become cheaper.

The prices of dairy products like cheese and butter will also become cheaper, providing relief to consumers.

How tariff cuts could impact Indian industry?

While the reduction of tariffs on American products will make them cheaper, increasing their consumption in the Indian market, the new trade policy will also deeply impact India’s indigenous goods, which would now have to compete with global powerhouses.

According to experts, American brands will hold a definitive edge in the electronics sector, while Indian automakers are also likely to suffer losses if tariffs are cut on auto parts. Additionally, India’s pharma sector and dairy industry will also feel the pinch. However, if the central government manages to strike the right balance, its can save local industries from losses as well as providing benefit to the consumers.

if auto parts become cheaper, then Indian automobile manufacturing companies can suffer losses. Apart from this, pressure will also increase on the pharma sector and dairy industry. But if the government strikes the right balance, then along with benefiting Indian customers, local industries can also be saved from losses.