India gears up to tackle US tariff hike fallout

Business Aug 08, 2025

The US just bumped tariffs on Indian goods up to 50%, which could hit Indian exports, manufacturing, and jobs pretty hard.
In response, India is rolling out a new strategy to stay competitive—officials are eyeing ways to boost exports, and industry leaders are pushing for quick financial support for sectors most at risk.

India's plan to counter US tariffs

India's approach includes finding new export markets (like Europe and Africa), updating what it sells abroad, making it easier to do business, and encouraging people at home to buy more local products.
But there are challenges: China's cheaper goods make competition tough overseas, changing export products takes time and money, and boosting domestic demand might mean tax tweaks that could cut government revenue.