India is ready to take necessary steps to shield its economy from potential dumping of Chinese goods, following the United States'(US) recent move to impose steeper tariffs on China, a senior government official said on April 5.
"The government will take measures available in our legal framework. Both direct and indirect steps to curb any dumping of products from nations facing steep tariffs from the US will be taken," this official said.
These comments come at a time when there are fears of low-cost Chinese imports flooding the Indian market as Beijing may seek alternative destinations after US increased tariffs on Chinese goods to 54 percent, set to take effect on April 9.
China faces one of the steepest tariffs, with US President Donald Trump imposing an additional 34 percent duty on top of the existing 20 percent tariff introduced in two rounds earlier this year.
Beijing too retaliated by deciding to impose additional tariffs of 34 percent on all US goods from April 10.
The US has imposed relatively lower reciprocal tariffs on India versus its Asian peers.
India will face a baseline duty of 10 percent from April 5 and another 16 percent on from April 10.
Apart from China, New Delhi's Asian peers and neighbours such as Vietnam will face relatively steeper tariffs from US at 46 percent, Bangladesh has been levied a higher duty of 37 percent followed by Thailand at 36 percent and Taiwan at 32 percent.
Previously, the commerce department has emphasised that India’s anti-dumping safeguards are strong enough to counter any dumping of goods by specific nations.
India’s imports from China rose by 10.4 percent to $103.7 billion between April and February of 2024–25, compared to the same period a year earlier. In contrast, exports to China dropped by 15.7 percent, totaling $12.7 billion.
Recently, New Delhi recommended imposing of a 12 percent provisional safeguard duty for 200 days on certain steel products with an aim to protect domestic players from surge in imports, especially from the links of China.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.