Trump’s 100% tariff on China, benefit to India: Exports expected to increase in sectors like textile to footwear

Indian exports may benefit from the trade war between America and China. Actually, US President Donald Trump announced to impose 100% tariff on China a day ago. Experts say that this will give Indian exporters an opportunity to increase their share in the American market.

Trump said on Friday that the new tariffs would go into effect on November 1. There is already a 30% tariff on goods coming from China to America. In such a situation, a total tariff of 130% will be imposed on China. Trump has also talked about controlling the export of all important software from November 1.

In fact, on October 9, China had further tightened exports on rare earth materials, in response to which Trump has talked about imposing new tariffs. According to experts, this trade war between the two countries can affect the whole world, but it can prove to be a big opportunity for India.

Understand in the questions and answers how India will benefit…

Question: How will Indian exporters benefit?

answer: America has imposed heavy tariffs on Chinese goods, due to which Chinese products will become expensive in the American market. On the other hand, there is currently a 50% tariff on Indian goods, which is much lower than China. This will make Indian products more competitive in America. SC Ralhan, President of Federation of Indian Export Organizations, said that this can further increase India’s exports by $ 86 billion i.e. Rs 7.3 lakh crore.

Especially exporters of textiles, toys and other goods will benefit more. For example, a textile exporter said that this tariff will give India a big opportunity in the US. Toy exporter Manu Gupta also said that American retailers like Target have approached them for new products.

Question: Which Indian sectors will benefit the most?

answer: Sectors like textiles, toys, electronics, footwear, white goods (like fridges, washing machines) and solar panels are expected to benefit the most. Due to Chinese goods becoming expensive, American buyers may turn to India, because Indian products will now be more affordable.

Question: Which other countries will be affected by this trade war?

answer: America’s big business partners like Mexico and Canada will suffer the most from this trade war. Apart from this, Asian countries like South Korea, Japan and Singapore will also be affected.

There may be disruption in the supply chain of these countries. Especially in the electronics, technology and manufacturing sectors, because these countries have strong trade relations with both America and China.

Question: What effect will this have on the global market?

answer: According to think tank GTRI, this trade war may increase the prices of electric vehicles (EVs), wind turbines and semiconductor parts in the global market. This will increase the cost of these products and cause changes in the supply chain, which can affect the economy of many countries.

Question: What could be the future of India-US trade?

answer: Bilateral trade between India and America in 2024-25 stood at $131.84 billion (Rs 11.6 lakh crore), of which $86.5 billion i.e. Rs 7.6 lakh crore was exported from India.

America is India’s largest trading partner and 18% of India’s total merchandise exports go to America.

Both countries are also negotiating a bilateral trade agreement, which could further increase trade in the future. This trade war may give India an opportunity to further strengthen its position.

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Trump’s 100% tariff on China, implemented from November 1: Angry with the control on rare mineral exports, said- China is trying to hold the world hostage

US President Donald Trump has announced to impose 100% tariff on China. Trump said on Friday that the new tariffs would go into effect on November 1. There is already a 30% tariff on goods coming from China to America. In such a situation, a total tariff of 130% will be imposed on China. Read the full news…

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