US President Trump will announce “Liberation Day” tariffs, potentially provoking a global trade war, with significant repercussions for Indian exports and various sectors. A 25% global tariff on auto imports is also due shortly. The GTRI anticipates increased tax rates affecting India, while global markets remain apprehensive about the situation.
US President Donald Trump is poised to announce considerable new tariffs, dubbed “Liberation Day” tariffs, on Wednesday. This announcement, scheduled for 4 PM EST (1:30 AM IST), is anticipated to initiate a potential global trade conflict. Additionally, a 25% global tariff on auto imports is expected to be imposed from April 3 onward.
The Global Trade Research Initiative (GTRI) reports that these tariffs may severely affect Indian exports. India could face an increased tax burden of 4.9%, a notable rise from the current rate of 2.8%, particularly impacting sectors such as agriculture, electronics, and pharmaceuticals. The GTRI’s report titled “Reciprocal Tariffs and India” highlights these potential repercussions.
In a brief post on his Truth Social platform earlier on Wednesday, Mr. Trump declared, “It’s Liberation Day in America!” This phrase appears to encapsulate his administration’s intentions behind the tariff policies. He has stated that these tariffs are designed to equalize disparities between U.S. tariff rates and those implemented by other nations, while also addressing non-tariff barriers that hinder American exports. Global markets have shown signs of volatility leading up to this announcement, as various nations prepare both for dialogue and possible retaliatory actions.
In summary, President Trump’s impending “Liberation Day” tariffs are set to have significant implications, particularly for Indian exports. The GTRI warns of heightened tax rates impacting various sectors. As global markets respond with concern, potential retaliatory measures are being considered by affected countries. This situation may escalate into broader trade disputes if not addressed through diplomatic channels.
Original Source: www.ndtv.com
