Foreign Trade
FM Sitharaman has a message of hope for exporters hit by Trump tariffs
Finance Minister Nirmala Sitharaman said that the Indian government is developing a support package for exporters facing a 50% US tariff, initiated partly due to continued oil imports from Russia. Various ministries are assessing the tariff's impact on sectors like textiles, gems, and leather.
India, Qatar likely to finalise terms of reference for trade deal in October, source says
India is likely to finalise the terms of reference for its proposed trade deal with Qatar in October, a government source told Reuters on Monday.
Trump’s tariffs could reduce India's GDP by 0.5%, says CEA Anantha Nageswaran
India’s CEA V. Anantha Nageswaran said US President Trump’s 50% tariffs could trim India’s GDP by 0.5–0.6% this year, with greater risks if extended. The tariffs hit exports like textiles and jewellery, India’s key US markets. Still, he maintained a 6.3–6.8% growth outlook, citing strong Q1 growth, tax cuts, low inflation, GST relief, and fiscal support.
Xi and Putin to join BRICS trade summit that PM Modi decided to skip
China confirmed President Xi Jinping will join a virtual BRICS summit on Sept. 8, hosted by Brazil to discuss Donald Trump’s trade policies. Russia’s Vladimir Putin will also attend, while India’s Narendra Modi will send his foreign minister. The meeting, including South Africa, aims to back multilateralism, but no joint statement will follow the closed-door session.
ET Graphics: India, EU to hold 13th round of FTA talks in Delhi; pact likely by year-end
European Commissioner for Trade and Economic Security, Maroš Šefcovic, is also expected to visit India later this week as both sides attempt to finalize the trade pact by the end of the year.
India cautions SCO against misuse of export measures
India cautioned against weaponizing export measures at the SCO trade ministers' meeting, emphasizing the need for fair trade practices and a functional WTO. India highlighted diversifying supply chains, addressing trade imbalances, and ensuring climate measures don't discriminate. The nation also proposed SCO workstreams for the digital economy and spotlighted the AVGC sector's potential.
India, EU working on series of transformative initiatives besides eyeing to seal FTA by December
India and the European Union are set to intensify negotiations for a free trade agreement, aiming to resolve differences on rules of origin, market access, and duties. High-level meetings are planned, including visits by EU officials and committees, to finalize the deal by year-end.
India, Israel to sign bilateral investment treaty this week
Israeli Finance Minister Bezalel Smotrich's upcoming visit to India aims to strengthen economic ties, with the signing of a bilateral investment treaty (BIT) expected. This BIT seeks to protect investors and boost confidence through assured treatment and dispute resolution. Discussions will also lay the groundwork for a free trade agreement (FTA) to further enhance trade between the two nations.
Indian Amb Sibi George calls Japan 'steadfast partner' of India as he bids farewell
Indian Ambassador to Japan Sibi George has expressed his heartfelt appreciation for the support he received in strengthening India-Japan relations during his tenure in the country, as he prepares to leave his post, the Japan Times reported.
India reaffirms commitment to WTO-centred, fair trade system at SCO Trade Ministers' Meeting
India stressed the scope to leverage the Shanghai Cooperation Organisation's (SCO) collective strengths for shared prosperity at the SCO Trade Ministers' Meeting held in Vladivostok and highlighted the need for export diversification, reducing dependency, and building resilient supply chains, the Ministry of Commerce and Industry said in a statement Sunday.
Must Watch
Coal import declines in July over sluggish demand, availability of high stock
India's coal imports saw a decline of 16.4 percent in July, reaching 21.08 million tonnes. This decrease is attributed to reduced demand during the monsoon season and ample stock availability. Imports during April-July also dipped. Non-coking coal imports decreased, while coking coal imports increased during the same period. The government assures sufficient coal supply across sectors.
'Propaganda': Peter Navarro slams Elon Musk after his X post on India’s Russian oil purchases gets fact-checked
Peter Navarro, former Trump advisor, lashed out after being fact-checked on X for spreading misinformation about India's Russian oil purchases. He accused Elon Musk of allowing "propaganda" and reiterated his claim that India is exploiting the situation for profit. Navarro insisted India didn't buy Russian oil before the Ukraine invasion.
US reciprocal tariffs: Donald Trump signs order granting exemptions to some goods
India’s exports of the newly-exempt 50-odd items amount to about $20 million annually. The products include highly specialised: nitrile compounds used in pharmaceuticals and agrochemicals; nickel waste and scrap recycled into stainless steel and batteries; lidocaine, a local anaesthetic; nick el powders for catalysts and 3D printing; nickel flakes used in conductive coatings; and high-purity precious metal articles used as bullion and inelectronics.
India will be at negotiating table 'in a month or two': US Commerce Secretary Howard Lutnick
US Commerce Secretary Howard Lutnick suggests India will eventually seek a deal with Donald Trump, despite current tensions over Russian oil purchases. Lutnick criticized India's increased reliance on discounted Russian oil and its role in BRICS, urging New Delhi to align with the US. He believes economic realities will compel India to prioritize its relationship with the American consumer.
Trump's advisor Navarro needles India once again
Peter Navarro, trade advisor to Donald Trump, is stirring controversy by supporting tariffs on foreign remote workers, potentially impacting India's IT services exports. This move resonates with Trump's "America First" agenda, targeting Indian tech workers and outsourcing. While formal tariffs may be challenging, non-tariff barriers could be employed, posing a threat to India's $250+ billion IT industry.
India plans relief package for exporters hit by US tariffs
Nirmala Sitharaman announced India's plan to aid exporters affected by increased U.S. tariffs. The new duties included levies on Indian goods, impacting sectors like textiles and jewellery. The government will offer credit guarantees for small businesses and exporters. Labour-intensive industries face significant challenges, leading to job losses. The tariffs have strained relations between India and the U.S.
