Wed Apr 02 07:31:07 UTC 2025: ## US to Impose Reciprocal Tariffs on Indian Goods: Sectors Brace for Impact

**New Delhi, April 2, 2025** – The United States is set to impose reciprocal tariffs on a range of Indian products, potentially impacting key sectors including agriculture, pharmaceuticals, jewelry, and electronics. Experts warn that the tariffs, announced by President Donald Trump as a “Liberation Day” for the U.S., will be based on the significant tariff differential between the two countries.

The Global Trade Research Initiative (GTRI) analysis reveals that the impact will vary across sectors. Agriculture is expected to be hard hit, particularly fish, meat, and processed seafood, which face a 27.83% tariff differential. Shrimp exports, a major component of trade with the U.S., will be significantly affected. Other agricultural products like processed food, sugar, cocoa, and dairy are also facing substantial tariff increases.

In the industrial sector, pharmaceuticals ($12.72 billion in 2024 exports) face a 10.90% tariff differential, while the jewelry sector ($11.88 billion) faces a 13.32% increase. Electronics, machinery, chemicals, textiles, and rubber products are also projected to experience significant tariff hikes.

Indian exporters express concern, particularly about the lack of predictability in the Trump administration’s trade policy. While some anticipate initial impact, they hope the long-term consequences may be mitigated. They also highlight that the ultimate burden of the tariffs will likely fall on American consumers. The extent of the tariffs may differ from the current tariff differential, as the U.S. may also consider non-tariff barriers and currency fluctuations. The full impact will only become clear once the tariffs are officially implemented.

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