India has now decided to impose tariffs on USA imports to counter Donald Trump’s statement. (For more read article: Donald Trump Fights For Motorcycle)
These tariff are for 28 US products, such as almonds, apples and walnuts. This was due to Washington’s withdrawal of key trade privileges of New Delhi. Donald Trump has been out for blood lately, with this being his third trade War. ( Read article: Part One and Part Two here). This was after he swore that he would rebuke every country that US has a large trade deficit with.
USA removed the key privileges under the Generalized System of Privileges ( GSP) for India, which allowed tariff free exports up to 5.6 billion dollars. India has also been in the talks of raising their import duties on US goods for long time ago, but the plans were always sidelined. This as in retaliation of US’s adamant refusal to pardon it from the high steel and aluminum tariffs. This may affect the political relations between the two countries.
Many large American companies will be greatly impacted, and the United States itself is greatly angered by the bold move from India’s side.
What do you think? Will India hold out and not be crushed under the might of the US? Comment down below….