India's Growth Resilient to Trump's Tariff Warnings; US Economy Faces Slowdown

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News18•06-01-2026, 17:39
India's Growth Resilient to Trump's Tariff Warnings; US Economy Faces Slowdown
- •US President Donald Trump threatens India with increased tariffs, following an existing 50% tariff.
- •India Ratings and Research projects India's economic growth at 6.9% for FY 2026-27, unfazed by global turmoil or US tariffs.
- •Major reforms like GST, income tax cuts, and free trade agreements are expected to drive economic activity and keep inflation low (3.8%).
- •The Indian Rupee is estimated to average 92.26 per dollar in FY 2026-27, with FTAs boosting foreign investment and reducing CAD.
- •In contrast, the US growth rate is projected to fall to around 2% in FY 2026-27, according to multiple international agencies.
Why It Matters: India's economy shows strong resilience and growth prospects despite US trade threats.
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