TRADE WAR ES­CA­LATES

Business Today - - THE BUZZ - - Anup Ja­yaram.

The global trade wars have widened with In­dia join­ing the EU and China in im­pos­ing re­tal­ia­tory higher tar­iffs on im­ports from the US. In­dia raised du­ties on 29 prod­ucts from the US, in­clud­ing Amer­i­can ap­ples, al­monds, wal­nuts and stain­less steel prod­ucts af­ter the US hiked im­port du­ties on steel ( 25 per cent) and alu­minium ( 10 per cent). In­dia is the largest im­porter of al­monds from the US. As far as In­dia is con­cerned, dur­ing the first nine months of FY2018, iron and steel ex­ports to the US were $ 309 mil­lion while ar­ti­cles of iron and steel ex­ports amounted to $ 1.35 bil­lion. How­ever, In­dia’s big­gest ex­port item is petroleum prod­ucts, fol­lowed by ITeS. The US ac­counted for 57 per cent of In­dia’s to­tal ITeS ex­ports of $ 111 bil­lion in FY2017. Those big ticket items are still not hit, but things could get ugly if it spreads.

Read page 84 to know why our ex­port growth has not taken off

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.