US tariffs on imports: India considers easing rules for SEZs
India is looking to tweak rules for its Special Economic Zones (SEZs) after the US hiked import duties.
In the last financial year, SEZs exported about $15.2 billion worth of goods to the US, including pharma and electronics.
Now, the Commerce Department wants to make it easier for these export-focused units to sell inside India too.
Most ministries are on board, but the Finance Ministry is still cautious about keeping things fair for local businesses.
Potential benefits and concerns
If approved, SEZ units would get more freedom to sell in India's domestic market—potentially boosting their competitiveness at home and abroad.
Some worry this could put local producers at a disadvantage, but others believe it might actually help Indian manufacturers by increasing demand for their products.
The government may even fast-track these changes with executive orders if needed.