Trump tarif impact: US President Donald Trump has announced a 25% extra tariff on India on Wednesday. Due to this, the total tariff on India has reached 50%. Its effect was also seen on the gift Nifty, which led to a decline. The gift Nifty fell at 96.50 points or 0.39% to 24,784.50 on Wednesday night at 22:07 pm. At one time it fell to 200 points. In the last one week, it has come to a weakness of about 0.8%.
Trump on Wednesday signed an executive order and increased tariffs on imports from India by 25% to 50%. The order will be applicable from August 27 and Trump described it in response to India’s ‘unfair trade behavior’ and continuing oil purchases from Russia. Earlier, the Asian and European markets were closed at high levels during the day, while the US market was also trading in most of the green mark.
Expert opinion on stock market
HDFC Securities Managing Director and CEO Dheeraj Reilly predicted that the Indian stock market can see a Stock Market Crash on Thursday.
However, most investors will expect that the dispute between India and the US will not last long and will be resolved in some way or the other. Therefore, they will not sell on a large scale in nervousness. According to Reilly, if American tariffs remain in force for a year, India’s GDP (GDP) may have a 30–40 basis point.
India’s response to extra tariffs
The Ministry of External Affairs said in a statement on the social media platform X that the US has targeted oil imports from India’s Russia in recent times. The ministry clarified that this import is done keeping in mind the market conditions and the energy security of 140 million Indians.
The ministry called it ‘very unfortunate’ that the US took such steps, while many other countries are doing the same in their national interest. The ministry reiterated that these steps are ‘unfair, unjust and incompatible’. At the same time emphasized that India will take all necessary steps to protect its national interests.
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