Donald Trump Tariff Latest News: America created panic in the world with tariffs. US President Donald Trump’s tariff policy is stirred up all over the world. There is a possibility of this global trade war broke out. India, China or Pakistan, America has not left anyone. Everyone has been applied on one eye. Donald Trump has imposed a tit tariff on countries around the world. It is believed that Donald Trump’s new tariff policy can begin a series of retaliation between many countries. The countries which have been more affected by the tariff of Trump can adopt the path of conversation. Some retaliation can be done. Donald Trump’s tariff announcement can bring India and China very close. Due to Trump’s tariff, two enemies can become the best business partner by following the path of good friends.
Before Donald Trump did not announce the tariff, China said, “America should soon return to the right path of dialogue and cooperation, but if America wants war, whether it is tariff, business war or any other type of war, we are ready to fight till the end.” Now America has announced the tariff. America has imposed 26 percent tariff on India and 34 percent tariffs on China.
Meanwhile, after Trump called the ‘Tariff misuse of tariff’ country, India is also assessing the possible ways to reduce the impact of tariffs. The US President recently said that India will reduce its tariffs to a great extent. These tariffs have created new financial difficulties for both China and India. In the long -standing trade war with the US, more pressure on China’s exports tangled in the long -standing trade war seems to be increasing. At the same time, India, who was traditionally traditionally America’s business ally, is now forced to reconsider its dependence on the US market.
China ready to buy more goods from India
Just before the announcement of the tariff, Beijing said that it is ready to import more products from India and strengthen trade cooperation. Ambassador to New Delhi, Beijing, Ju Fihong asked Indian enterprises to share the benefit of development of China. He said in an interview to the Chinese mouthpiece Global Times, “We are willing to work with the Indian side to strengthen business and other areas to strengthen practical cooperation and import Chinese market -friendly Indian products.” He said, ‘He said,’ We welcome more Indian industries to cross the Himalayas and seek opportunities for cooperation in China and take advantage of China’s development. ‘
A look at India-China trade relation
China became the largest trading partner of India in the 2010s. Import from China… Indian overtakes Indian exports. After the Galwan Valley struggle in 2020-21, India and China touched relations. Because of this, New Delhi banned Chinese investments. Over 200 Chinese apps were banned and started investigating FDI from Beijing.
How is business between the two countries?
Despite military deadlock and political tension between the two countries, trade between India and China reached a record 135.98 billion US $ in 2022. This highlights their deep economic dependence. According to the Commerce Ministry of India, bilateral trade between the two countries in 2023-24 stood at US $ 101.7 billion. One of the great things of anxiety is that India’s trade deficit with China is increasing by 2023 to US $ 100 billion by 2023 due to heavy dependence on Chinese imports in electronics, machinery, pharmaceuticals and chemicals.
Trump’s tariff threatens both countries?
• Both India and China are big exporting countries. In such a situation, increasing the tariff from America can have a big impact on the economy of both countries.
• Both India and China are struggling with the same economic challenges. In such a situation, the two countries are practically inspired to find ways of cooperation with each other. This does not mean that there will be a thorough alliance between the two countries. Rather, both countries can come with each other strategically on special economic issues.
• Both countries are trying to diversify their business relations to reduce their dependence on the American market. This creates opportunities to increase bilateral trade between India and China.
• Existing regional economic structures such as BRICS and Shanghai Cooperation Organization (SCO) provide a platform for better cooperation to both countries. These platforms promote discussion on trade, investment and economic development.
Area of Opportunity
- China, facing heavy tariffs from America, is now eyeing India. China is seeing it as an alternative production hub. Chinese companies are investing in Indian electronics, auto parts and pharmaceutical fields to avoid American trade restrictions.
- Secondly, US sanctions on Chinese semiconductor firms have made an empty space in the market. India, who is investing in making domestic chip, can see the Chinese tech firm looking for new partners.
- Third India imports a large amount of oil and gas and China is looking for a new supply chain participation with fluctuations in global energy markets. Chinese investment in Indian renewable energy projects is increasing.
Challenges and obstacles in India-China friendship
• There is a long history of regional disputes between India and China. Especially in Ladakh and Arunachal Pradesh. Despite the encouragement in business, these stress can limit deep economic integration between the two countries.
• After a clash in Galwan Valley in 2020, public sentiment in India became against China. The Government of India has banned Chinese investment in some areas, which has slowed down the pace of cooperation.
• India and China compete directly in industries like technology, telecom and pharmaceuticals. Cooperation will require careful balance to avoid one side dominating the other.