Prime Minister Narendra Modi with US President Donald Trump. AP File
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Firstpost30-12-2025, 00:00

India Defies US Tariffs, Boosts Global Standing in 2025

  • US imposed steep 50% tariffs on Indian exports (steel, chemicals, electronics) in early 2025, threatening trade and geopolitical ties.
  • India diversified export markets to Europe, Southeast Asia, Africa, and the Middle East, reinforcing RCEP and signing new trade agreements.
  • Government provided targeted fiscal support, including interest subventions and duty drawback schemes, to cushion exporters, especially SMEs.
  • Accelerated 'Make in India' and PLI schemes strengthened domestic value chains in electronics, pharmaceuticals, and renewable energy.
  • India engaged in strategic diplomacy with the US, avoiding retaliatory tariffs and preserving investor confidence while pursuing strategic autonomy.

Why It Matters: India turned US tariff challenge into an opportunity, strengthening its economy and global position.

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