New Delhi, March 20, 2025 — India may not receive reciprocal tariff relief from the United States as former U.S. President Donald Trump reaffirmed the April 2 deadline for implementing steep tariffs on several trading partners. The move is likely to impact trade negotiations between the two countries.
In its latest Global Economic Outlook report, Fitch Ratings stated that the Indian economy remains “somewhat insulated” from the potential adverse effects of American tariffs, owing to its diversified trade structure and strong domestic demand.
Fitch noted that while certain sectors like automobiles, electronics, and textiles may face export pressure, the broader Indian economy is resilient enough to withstand global headwinds.
Trump’s reiteration of the tariff policy signals a continued protectionist stance that could pose challenges for emerging markets seeking trade parity with the U.S.
Key Highlights:
- Trump confirms April 2 deadline for U.S. tariff hikes.
- India unlikely to receive reciprocal relief, say trade analysts.
- Fitch Ratings sees India as “somewhat insulated” from U.S. tariff impact.
- Export-driven sectors may feel the heat, but domestic consumption to remain strong.
Expert View:
“India must continue to diversify its export markets and invest in strengthening domestic industries to counter any adverse impact from global trade disruptions,” said a senior economist at a leading think tank.
