India, US strike new trade deal with focus on auto
India and the US just struck a new trade deal that proposes a reduction in reciprocal tariffs to 18% on auto parts, making it easier and more predictable for Indian companies to sell car components in America.
Announced on Tuesday, this move comes at a time when global supply chains are shifting, and could help Indian manufacturers stay competitive.
ACMA upbeat about the deal
The Automotive Component Manufacturers Association of India (ACMA) is pretty upbeat about the deal.
President Vikrampati Singhania says it could lead to stronger partnerships—especially around clean mobility tech—and deeper industrial ties between the two countries.
In the first half of the current financial year, India exported $3,124 million in auto parts to the US, and ACMA now plans to work with policymakers to keep building resilient supply chains and boost exports even further.