Less than 0.1 percent of exports entering the US from China, India and Vietnam faced over 25% tariff in 2023

Very few exports headed to the US faced higher duties

Less than 0.1 percent of exports from India, China and Vietnam faced over 25 percent tariffs in 2023, but the situation is expected to soon change as the US president on April 3, unveiled his plan to impose kind or discounted reciprocal tariffs, according to a Moneycontrol analysis of UN trade data.

“We will charge them approximately half of what they are — and have been — charging us. So the tariffs will be not a full reciprocal. I could have done that I guess, but it would’ve been tough for a lot of countries,” the President noted, addressing a press conference from White House.

The tariffs, include costs of currency manipulations, unfair trade practices, and tariff and tariff barriers, he further noted.

India is likely to face a tariff of 26 percent, based on the US assessment that the country charges 52 percent tariff on US imports, while China is expected to face a higher tariff of 34 percent. European Union will face 20 percent duties, while Vietnam is expected to face 46 percent.

While it is unclear on whether a flat 26 percent levy will be imposed on all products in the case of India, a Moneycontrol analysis shows that in 2023 just 11 of the over 3,700 products exported to the US faced a 26 percent or higher levy. Of the over $80 billion of exports from India to the US just $61 million worth of goods faced tariffs more than 26 percent.

Most of this accrued to tobacco and products like groundnuts, synthetic fibres and dates.

The proportion was even lower for China, as 34 percent or more levy was put on just $12.9 million of the nearly $436 billion worth of exports for which data was available, which also includes groundnuts, but also categories like footwear.

On the other hand, Germany faced the most wrath, as 1.15 percent or $231.6 million worth of its products faced a duty of 20 percent or more.

India was ranked amongst the lowest in South Asian peers with Trump levying 44% duty on Sri Lanka, 37% on Bangladesh, 29% on Pakistan.

In the list shown by the president, India ranked 12th among nations facing high tariffs.

Over a sixth of global trade now stands threatened with the US levying tariffs on all nations.