26% Tariff on India

But, At what cost ?

Economic impact projection: According to JP Morgan, tariffs on $3.3 trillion worth of US goods imports could equate to a $660 billion increase in costs, roughly 2.2 per cent of the country’s GDP.

These tariffs are not expected to last long, ie., the intent behind this is not to generate money through tariffs, rather it is using such tariffs as a leverage (bargaining chip), to negotiate deals that promote US exports by lowering the duties imposed for US goods by other countries, so that they generate more income through exports and reduce their trade deficit.

He just wants zero-trade barriers, like letting Telsa sell cars in India through the import route, rather than manufacturing them here.

We mostly impose higher tariffs on luxuries, he wants to tax the necessities.

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