India must negotiate carefully and on equal terms, ensuring reciprocity and preserving strategic autonomy, says Global Trade Research Initiative.
The fresh round of US-China trade tensions has created new uncertainties over India’s trade prospects. While it may give some export sectors an edge over China in the US market, the higher tariff could also lead to cheaper Chinese goods flooding the Indian market. The US has announced a 100% additional tariff on Chinese goods starting November 1, 2025. The move effectively raises the total tariff rate on Chinese imports to about 130%, adding uncertainty to the ongoing US-India trade talks, trade experts said.
India is likely to face certain trade challenges due to this heightened trade tension between US and China. “India will suffer collateral damage,” said Abhijit Das, former Head of the Centre for WTO Studies, Indian Institute of Foreign Trade.