India could reach $1 trillion in exports by 2026-27
India could reach $1 trillion in exports by 2026-27, exporters say, although economists remain cautious and say structural acceleration and further details of the deals will be needed.
Under the US-India framework, many US tariffs have been reduced to around 18% from higher previous rates, with exemptions and some zero-duty lines.
The EU has not broadly cut tariffs, and EU regulatory measures and prospective agreements remain under discussion.
Exporters say this is a big win for Indian businesses.
US deal lowers tariffs on $900B imports
The US deal means lower tariffs on $900 billion worth of imports, plus zero-duty access for things like spices, tea, coffee, fruits, nuts, and silk.
Pharma and aircraft parts also get a break.
With these changes, India's average tariff rate drops below China's—making Indian goods more competitive.
More jobs, growth back home
This boost could mean more jobs and growth back home—Goldman Sachs even predicts a small bump in India's GDP thanks to stronger export demand from the US.
Key sectors like textiles, leather (expected to jump 30%), gems, machinery, and agriculture are set to benefit most.
For anyone interested in business or global trade trends (or just rooting for Team India), it's pretty exciting news.