Chief Economic Adviser V Anantha Nageswaran on Thursday expressed optimism that the US could withdraw its additional 25 per cent penal tariffs on Indian goods after November 30.<\/p>\n
Speaking at an event organised by the Merchants\u2019 Chamber of Commerce & Industry in Kolkata, Nageswaran highlighted recent geopolitical and economic shifts as harbingers of relief. \u201cI still believe that geopolitical circumstances may have led to the second 25 per cent tariff, but considering the developments in the last couple of weeks and so on, I do believe… it is my intuition that\u2026 the penal tariff will not be there after November 30,\u201d he said.<\/p>\n
Nageswaran\u2019s remarks come just two days after a marathon meeting between US Assistant Trade Representative Brendan Lynch and India\u2019s chief negotiator and Special Secretary at Ministry of Commerce Rajesh Agrawal in New Delhi on the next step in trade talks. Both sides held a day-long meeting on Tuesday and decided to intensify efforts for early conclusion of a mutually beneficial Bilateral Trade Agreement, which was announced in February. The negotiations for the trade pact were postponed after President Donald Trump imposed 50 per cent tariffs on select Indian goods.<\/p>\n
Initially, the US imposed a baseline 25 per cent reciprocal tariff on India to address perceived trade imbalances. However, in August, an additional 25 per cent penal duty was slapped on Indian goods, bringing the total to 50 per cent. The US cited New Delhi\u2019s continued purchases of Russian oil amid the ongoing Ukraine conflict for the tariffs.<\/p>\n
Nageswaran further anticipated broader resolutions, including a possible reduction of the base reciprocal tariffs to 10-15 per cent, within the next couple of months. \u201cI do believe that there will be a resolution in the next couple of months on the penal tariff and hopefully on the reciprocal tariffs,\u201d he said, underscoring ongoing bilateral talks.<\/p>\n
According to Nageswaran, the external sector of the economy remains resilient, despite the global headwinds. \u201cTrade continues to be robust in the current financial year,\u201d he said, adding that the foreign exchange reserves were healthy.<\/p>\n
The CEA\u2019s intuition aligns with India\u2019s robust export momentum, with shipments crossing $820 billion last financial year and eyeing the $1 trillion mark soon. This resilience, Nageswaran noted, positions India as a \u201chealthy and open economy\u201d capable of navigating such headwinds.<\/p>\n","protected":false},"excerpt":{"rendered":"Chief Economic Adviser V Anantha Nageswaran on Thursday expressed optimism that the US could withdraw its additional 25…\n","protected":false},"author":2,"featured_media":166682,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[100406,100407,100408,100409,28,100410,101,100411,100412,100413,100414,100415],"class_list":["post-166681","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-ananthanageswaran","tag-economicresilience","tag-tradetariffs","tag-usindiabilateraltrade","tag-business","tag-economicoutlook","tag-economy","tag-globaltrade","tag-indianeconomy","tag-indianexports","tag-indiaustrade","tag-tradenegotiations"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/166681","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=166681"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/166681\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/166682"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=166681"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=166681"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=166681"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}