Kerala CM warns US tariff hike will hit state economy hard | Kerala News | Onmanorama
Published: August 11, 2025 08:16 PM IST
1 minute Read
Kerala Chief Minister Pinarayi Vijayan. File Photo: Manorama
Kerala Chief Minister Pinarayi Vijayan on Monday said the United States’ recent tariff hike would severely impact the state’s economy, and the government would conduct a detailed assessment of the situation. Speaking at a government event, Vijayan described the US tariff increase as a significant setback for India’s economy overall and Kerala in particular.
He noted that the US is the second-largest importer of Kerala’s agricultural products, with over 20 per cent of the state’s exports of cashew nuts, rice, vegetables, processed fruits, and cereal flour destined for America. Kerala also has the highest number of seafood processing units in the country, and the additional tariffs are expected to affect seafood exports as well, an official statement quoted the chief minister as saying.
Vijayan reiterated that the tariff hike would have a severe impact on Kerala’s economy and affirmed that the state government would thoroughly study the crisis. A reciprocal tariff at the rate of 25 per cent is proposed to be imposed on certain goods exported from India to the US starting from August 7.
US President Donald Trump has also announced an additional 25 per cent tariff, to be effective from August 27. With this, the total tariff on Indian goods is now 50 per cent.
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