Trump Tariff Threats: US President Donald Trump has imposed tariffs on Canada, China and Mexico. India has managed to avoid this tariff war of Trump to a great extent. Now the question comes whether India can avoid this danger or there are some diplomatic measures to deal with it? Let’s take a look at it.
India’s biggest strength to avoid American tariffs
India’s mass exports serve as immun systems in case of protecting America’s tariffs from threats. On the one hand, countries like China and Mexico have competition with the American industry in technology and manufacturing sector. On the other hand, India exports things like pharmaceuticals, auto components, chemicals, textiles and gems, which have nothing to do with American industries in the global market.
Speaking to Federation of Indian Export Organization (FIEO) director General Ajay Sahai, India said, “The realization of America’s tariff war will be less because we are not usually not competing with American companies.”
America may scare India
There is no threat to American companies from the sectors that have India’s penetration. Due to this, the possibility of tariffs also decreases to a great extent. He further said that America can show fear of tariff to India, but will not impose tariffs. Taking advantage of this fear, more and better access to American goods and services can be started in Indian markets. India is making balance by selecting tariffs to reduce stress without sacrificing domestic interests.
Relationship between India and America strong
Diplomatic relations between India and America remain strong. Prime Minister Narendra Modi and Donald Trump have regularly emphasized strategic importance of their bilateral relations, especially in areas such as defense, technology and security. Here, preparations are also in full swing to send Indian citizens living illegally in America back to their country, in which the Ministry of External Affairs of India is also cooperating uninterrupted. However, it remains a sensitive issue right now. Meanwhile, the two countries are engaged in an attempt to ensure that it does not affect their widespread trade relations.
Trump has threatened to impose 100 percent tariffs on BRICS countries, in which India’s name has not been taken yet. This is evidence that due to mutual trust and shared strategic objectives, the tariffs are beyond India and America.
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