Kochi: Steep tariffs on goods from India to the US will take effect from Wednesday scaring exporters who are fearing a sharp decline in US orders after trade talks collapsed, media reports said.
An additional 25 per cent duty announced by will make total tariffs to 50%, as a punishment for New Delhi buying of Russian oil.
Exporters hit by tariffs are hoping to receive financial assistance and be encouraged to diversify to alternative markets such as China, Latin America and the Middle East, the official added.
Exceptions will be given to shipments in transit, humanitarian aid, and items under reciprocal trade programmes.
The Indian rupee fell to a three-week closing low of 87.68 against the dollar.
The two way trade between the world’s biggest and fifth-largest economies is worth more than $190 billion.
Us have accused India of indirectly funding Russia’s war against Ukraine by boosting Russian oil purchases.
The US move will benefit Bangladesh, China and Vietnam.
The commerce ministry official said the government had identified nearly 50 countries to which India could boost exports, the reports said.
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US new tariffs scare exporters
