US tariff hike won’t have significant impact on India’s GDP: Piyush Goyal
Piyush Goyal Downplays US Tariff Hike’s Impact on India’s Economy
Commerce and Industry Minister Piyush Goyal shared some reassuring words on Tuesday about how recent US tariff hikes won’t shake India’s economy much. Speaking at the NDTV Profit conclave in New Delhi, he explained that India relies more on its massive domestic market and imports rather than exports to drive growth. "India’s GDP isn’t dependent on exports," Goyal said, highlighting why the country stays strong even amid global trade tensions.
That said, Goyal didn’t sugarcoat everything. He pointed out that certain sectors, like textiles, could feel the heat from these US tariffs. "Two or three sectors will face significant US tariffs, and textiles is one of them," he noted. For businesses in the textile industry, this could mean tougher times ahead as they navigate higher costs and export challenges.
On a brighter note, Goyal praised recent government moves to boost the economy. He mentioned how cutting GST rates will put more money in people’s pockets, sparking higher demand and faster growth. Over the last 11 years, Prime Minister Narendra Modi has built a solid foundation for India’s economy through smart planning and hard work, according to the minister.
When it comes to US-India relations, Goyal kept things light-hearted. He joked that it’s not US President Donald Trump keeping him up at night, but PM Modi’s dedication to serving the people. Still, he emphasized the strong friendship between the two nations. "The US and India are important countries and good friends. All good things take time," Goyal said, referring to ongoing bilateral trade talks between India and the US.
His comments come right after a friendly exchange between Trump and Modi at the SCO meeting in Beijing. Trump said, "I will always be friends with Modi; he is a great Prime Minister. India and the United States have a special relationship. There is nothing to worry about." Modi responded warmly on X (formerly Twitter), saying, "I deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of India-US ties. India and the US have a very positive and forward-looking Comprehensive and Global Strategic Partnership."
Overall, Goyal’s speech paints an optimistic picture for India’s economic future, even as it eyes potential hurdles from US tariffs and trade dynamics. With a focus on domestic strengths and strong bilateral ties, India seems geared up to keep growing.
