On January 9, the US Supreme Court did not give its decision on the petition challenging President Donald Trump’s decision to impose tariffs. All eyes of the world including India were focused on this decision. This week there was a lot of pressure on the stock markets in India. The market feared that if Trump increased tariffs on India, it would have a negative impact. There is already pressure on Indian markets due to selling by foreign funds. On the other hand, the delay in the trade deal between India and America has also affected the markets.
More opinions from judges may come within the next two weeks
US judges issue the first comprehensive opinion on the term. The court said that more opinions may come during the next two weeks. The judge can give his opinion after returning from holidays. Uncertainty has increased due to no decision in this matter. Uncertainty has increased especially in those markets which have been sensitive to US trade policy signals. Trump’s tariffs have affected exports in India.
Trump used 1977 emergency power to impose tariffs
Trump had used an emergency power of 1977 to impose 10-50 percent tariffs on many countries of the world. It has imposed tariffs on many countries including China, Canada and Mexico. It has imposed very high tariffs on India, which has affected bilateral trade with America. The US government has defended the decision to impose tariffs. He says that tariff has been imposed on these countries keeping in mind national security and trade imbalance, which is correct.
Lower courts have said that Trump imposed tariffs beyond his jurisdiction.
America’s lower courts have said in their decision that Trump has taken decisions to impose tariffs beyond his jurisdiction. After an appeal against this decision, the matter is now in the Supreme Court. Trump’s tariffs have affected India. There has been a decline in the growth of exports. Especially the MSME sector has faced difficulties due to this. America has imposed 50 percent tariff on India. Out of this, 25 percent tariff has been imposed on purchasing oil from Russia.