India Studies U.S. Tariffs Amid Push for Trade Deal

India is analyzing the impact of a 27% U.S. tariff on its imports while pursuing a trade deal. Despite the tariffs, India's trade ministry sees potential opportunities and lower tariffs compared to other nations. The meeting with U.S. officials aims to find collaborative solutions.

In a move that has sent ripples through the global economy, India announced its intentions to push for a trade deal after the U.S. imposed a 27% tariff on Indian imports. The Indian government, while expressing concern, is viewing the situation as an opportunity for strategic economic maneuvers.

The tariff, which takes full effect in April, led to a minor decline in Indian stock indices, though they fared better than other Asian markets. The Indian rupee also held steady. Officials cite India's relatively lower tariffs as a tactical advantage over nations like China and Vietnam, which face steeper U.S. duties.

Indian trade leaders are set to discuss strategies with their U.S. counterparts in upcoming virtual meetings. Affected sectors include electronics and jewelry, while pharmaceuticals are exempted. Despite trade tensions, Indian policymakers remain optimistic about solidifying a bilateral trade agreement with the U.S.

(With inputs from agencies.)