Industry welcomes India-US trade deal, sees tariff cuts boosting growth and competitiveness
New Delhi [India], February 3 (ANI): Industry bodies welcomed India-US trade deal, reacting to the deal, Confederation of Indian Industry (CII) President Rajiv Memani said that the expected reduction of tariffs marks a major step forward in strengthening the strategic economic partnership between the two countries.
"The expected reduction of US-India tariffs to 18 per cent marks a significant step forward in the strategic economic partnership between India and the US," Memani said.
He congratulated Prime Minister Narendra Modi and Union Minister Piyush Goyal for steering what he described as a "constructive and forward-looking dialogue" with India's most important trade partner.
According to the CII President, the agreement will enhance the global competitiveness of Indian products and act as a catalyst for manufacturing growth, employment generation and the development of resilient supply chains.
He added that the deal underscores the shared commitment of India and the United States to deepen trade, technology and investment ties amid an increasingly competitive global landscape.
Meanwhile, PHD Chamber of Commerce and Industry (PHDCCI) President Rajeev Juneja said that lowering tariff duties reflects a renewed commitment by the United States towards trade openness and economic efficiency.
"Reduced tariffs cut input costs for domestic industries, strengthen supply chains, and ease inflation by lowering prices for businesses and consumers," Juneja said.
He noted that key sectors such as manufacturing, technology, healthcare and renewable energy stand to benefit through improved access to intermediate goods, capital equipment and critical components.
Juneja further said that the move aligns with the spirit of cooperation fostered by the strong personal rapport between Prime Minister Narendra Modi and US President Donald Trump, reinforcing trust and predictability in bilateral trade.
Echoing similar sentiments, Anish Shah, Group CEO & Managing Director, Mahindra Group, said that the India-US trade deal marks a significant step forward in strengthening bilateral trade and investment ties.
"The immediate reduction in reciprocal tariffs on Indian exports from 50 per cent to 18 per cent, along with the commitment to progressively lower tariff and non-tariff barriers, will boost growth momentum and improve the predictability businesses need to invest with confidence," Shah said.
"With the Indian economy on a strong growth trajectory, this deal adds meaningful momentum to India's growth ambitions," he added. (ANI)
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