Union roads transport minister Nitin Gadkari believes US President Donald Trump’s tariff threats won’t hurt India much as the domestic automobile industry is strong enough to cater to the world market and not dependent on just “one or two nations”.
Gadkari said India’s automobile industry has jumped from being seventh in the world in terms of its size and exports to being third, beating a major powerhouse like Japan on the way.
“Our industry is worth Rs 22 lakh crore, has given jobs to over 4.4 crore people, and in terms of GST, it has provided the highest revenue to both Centre and states,” Gadkari said during an India Today event.
The minister highlighted that the industry has maximum share in the country’s exports, and sends around 50 percent of its production to other nations, including Sri Lanka, Bangladesh and African nations. He also said that the country is rapidly working on alternative fuel technologies and cutting its dependence on conventional fuels.
“These developments have ensured that we have the world market available to us. We are not dependent on one or two nations,” Gadkari told India Today, adding that the government is working to make the industry more independent.
The comments come after Trump doubled India’s tariff to 50 percent for buying Russian oil. The US administration had also levied a tariff of 25 percent on auto components not manufactured in America. According to reports, US is Indian car parts manufacturers’ biggest destination for exports and account for 32 percent of the total shipments. The tariffs could impact around $7 billion worth of auto component exports, according to reports.
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