US Tariffs Escalate Challenges for Indian Chemical Industry

India is assessing the impact of US tariffs on its chemical and petrochemical industries. Secretary Nivedita Shukla Verma revealed that the government is in discussions with industry stakeholders. With US tariffs threatening to cut exports significantly, industry experts warn of reduced demand and increased competitive pressure from cheaper Chinese imports.

India's government is currently evaluating the ramifications of US-imposed tariffs on the nation's chemical and petrochemical sectors. According to Chemicals and Petrochemicals Secretary Nivedita Shukla Verma, talks are ongoing with industry players to determine the full impact on businesses.

US President Donald Trump recently scaled back a planned reciprocal tariff from 26% to 10%, prompting India to contemplate its potential economic consequences. Chemical exports to the US, a core part of India's export economy, are valued at around USD 5.7 billion.

Industry analysts suggest the tariff increases could sharply raise costs, diminishing demand for Indian chemical exports. The looming threat of Chinese chemical dumping, due to an economic slowdown, adds an additional layer of complexity to the situation.

(With inputs from agencies.)