Retaliatory tariffs between US, China opportunity for India’s exports: Commerce Ministry

Written By: Sidhant Sibal WION
New Delhi, Delhi, India Published: Jan 02, 2019, 04:05 PM(IST)

File Photo Photograph:( Zee News Network )

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India, from various global forums, have been calling for a "'rule-based trading system for promoting free and fair trade.'' US and China are one of India's largest trading partners.

India believes that the ongoing imposition of tariff by Bejing and Washington provides it with the opportunity to increase exports to both the countries.

In a written statement in the parliament, Minister of state in the commerce ministry C R Chaudhary said,''The retaliatory tariffs between US and China provides a window of opportunity for enhancing India’s exports to China and US, particularly in products in which India is competitive."

Though New Delhi does consider that the current trade war between the US and China is likely to have its "impact on the imports and exports of other countries, including India'' and may bring about a ''shift in their bilateral trading patterns and displacement of their bilaterally traded commodities to other countries.''

But Overall the commerce ministry doesn't see the impact on Indian imports to Sino US tariffs imposition as both countries have increased tariffs directed at each other.

India, from various global forums, have been calling for a "'rule-based trading system for promoting free and fair trade.'' US and China are one of India's largest trading partners.

The trade deficit with China has been a worry for India and during the 11 sessions of India China Joint Group on Economic relations which was held in New Delhi in March of last year, both countries agreed to increase trade in a balanced and sustainable manner. 

India has been seeking market access for Indian agricultural products, animal feed, oil seeds etc. 

India has a huge trade deficit with China due to the fact that Chinese exports to India rely strongly on manufactured items which are required in sectors like telecom and power while India's export to China are primary and intermediate products.

China and US hammered a trade truce on the sidelines of the G20 summit in Argentina in December 2018. Both are currently working on a trade deal.

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