Donald Trump's 'Liberation Day' rates: pharmaceutical, dairy, textiles at risk - a look at Indian sectors to the Brunt | Today news

While the world works on April 2 for US President Donald Trump’s ‘Liberation Day’ tariff plan on April 2, India is working on different scenarios to counteract the possible dropout of reciprocal rates on its most important trading partners. The impact of these rates can vary from sector to sector and the Ministry of Trade in India is preparing different scenarios, reports the PTI news agency, referring to sources. Trump said that April 2 will be ‘Liberation Day’ as he plans to announce reciprocal rates to lower America’s trade deficit and promote manufacturing. However, it is still unclear about the quantity of rates and how it will be imposed – whether at the product level, sector level or country level. High import duty on US goods according to the US Trade Representative’s National Trade Estimation (NTE) report 2025, maintaining India ‘high’ import tax on a wide range of US goods such as agricultural, drug formulations and alcoholic beverages, except that impose non -tariff barriers. Currently, US goods have a weighted average rate of 7.7 percent in India, while Indian exports to the US only attract 2.8 percent, resulting in a difference of 4.9 percent. The Indian exports to the US are spread over 30 sectors, with six in agriculture and 24 in industry. Each sector has different tariff impacts. The US is about 18 percent of the total export of goods in India, 6.22 percent in imports and 10.73 percent in bilateral trade. According to the Think Tank Gtri, the following sectors are expected to hit hardest after Trump’s reciprocal rates. Fish, meat and processed seafood, with $ 2.58 billion export, has a rate difference of 27.83 percent. Dairy products worth $ 181.49 million to be severely affected by the 38.23 percent tariff difference. Processed food, sugar and cocoa exports worth $ 1.03 billion will be affected by a 24.99 percent tariff increase. Alcohol, wines and spirits have the highest rate increase at 122.10 percent. Edible oils, with an export of $ 199.75 million, have a rate of 10.67 percent. Grain, vegetables, fruits and spices, worth $ 1.91 billion, have a tariff difference of 5.72 percent. Living animals and animal products export a rate difference of 27.75 percent at $ 10.31 million. The pharmaceutical sector, the largest industrial export of India, worth $ 12.72 billion, has a 10.90 percent tariff difference. Diamonds, gold and silver with $ 11.88 billion will attract a 13.32 percent tariff increase. Electric, telecommunications and electronic exports worth $ 14.39 billion have a 7.24 percent rate. Machinery, kettle, turbine and computer exports worth $ 7.10 billion will have a 5.29 percent tariff increase. Chemicals (exclusive pharmaceutical) worth $ 5.71 billion will be affected by a 6.05 percent rate. Textiles, materials, yarn and carpets, with $ 2.76 billion to export, have a 6.59 percent rate. Rubber products, including tires and belts, worth $ 1.06 billion, will have a 7.76 percent rate. Ceramic, glass and stone products with $ 1.71 billion in export will have a rate of 8.27 percent. Footwear, with $ 457.66 million exports, has a high tariff difference of 15.56 percent. Both countries are also working on a bilateral trade agreement to promote two-way trade and investments. Non-tariffs Indian businesses have marked certain non-tariff barriers that they face in the US, the PTI report states with reference to sources. The obstacles include the US that prohibits the export of wild captive shrimp from India on the grounds that Indian trailers do not use turtle exclusion equipment; private standards of US businesses; and high registration costs for sectors such as Pharma. To address these issues, the ministry is developing a portal for the registration of non-tariff barriers facing Indian exporters and also records the countries concerned for their solution. Catch all the business news, the news reports and the latest news updates on Live Mint. Download the Mint News app to get daily market updates. Business Newsnewsindiadonald Trump’s ‘Liberation Day’ rates: Pharma, dairy, textiles at risk – a glimpse of the Indian sectors to carry the greater part less