The Reserve Bank of India (RBI) is holding consultations with exporters on the kind of support that may be required to help them overcome challenges they face due to disruption in shipments, following the 50% additional tariff imposed by the US.
“Some consultations are planned later this week,” an industry source said, adding that the small and medium-sized entities, which are part of the value chain may be the worst hit. While American President Donald Trump has imposed a 25% additional tariff on all Indian exports to the US, he has announced plans to double it to 50% starting Wednesday. According to estimates, around 55% of India’s exports to the US, estimated at $86 billion last year, will be affected as certain exemptions are currently in place, such as those for pharma and mobile phones.