A landmark reciprocal trade pact between India and the US is set to make everyday items cheaper for Indian shoppers. Announced after high-level talks, the agreement slashes tariffs on key imports, from electronics to farm produce.
Tech enthusiasts will welcome lower prices on laptops, mobile devices, and gadgets. Consumer electronics and spare parts are prime beneficiaries, with import costs tumbling. Beyond gadgets, household appliances, processed foods, and packaged products could see price drops, making life more affordable.
On the agriculture front, duties on pulses, dairy products, and ready-to-eat foods may decrease, countering inflation woes. This comes at a critical time, providing much-needed relief to consumers and retailers alike.
The deal’s ripple effects extend to exports. Indian textiles, apparel, gems, and jewelry could penetrate US markets more easily with reduced tariffs. Steel, chemicals, and engineering goods might also gain ground, although some metals like steel and aluminum could retain steep duties up to 50%.
Auto parts remain a sticking point, with analysts predicting persistent high tariffs. Stemming from a call between PM Narendra Modi and President Donald Trump, the pact sets US tariffs on Indian items at 18% and removes several Indian trade hurdles.
Intriguingly, the negotiations touched on energy, with India agreeing to cut back on Russian oil and boost purchases from the US and Venezuela. PM Modi’s X post hailed the development, expressing gratitude to Trump and highlighting benefits for ‘Made in India’ products.
As details unfold, this trade deal signals a new era of collaboration, potentially transforming supply chains and consumer choices across both nations.