Trade Deals with EU, US Could Spark India's Manufacturing Revolution

• New trade arrangements with the US and EU are predicted to unlock India's potential as a manufacturing powerhouse, a shift from its previous protectionist stance.
• India's temporary protectionism (2014-2021) involved raising tariffs and implementing GST to strengthen domestic manufacturing before re-engaging globally.
• The 'Make in India' initiative and Production-Linked Incentive (PLI) schemes fostered a nascent manufacturing ecosystem, attracting global capital under the 'China+1' strategy.
• Recent interim trade deals with the US and EU significantly reduce tariffs, offering Indian low-cost, labor-intensive products access to vast, high-value markets.
• These agreements, including tariff cuts on European luxury cars and zero-duty access for Indian components to the US, position India for a manufacturing export boom and deeper localization.