US China Trade War / India will benefit from US-China trade war, Dragon's tension increased

The escalation of the US-China trade war could provide India with an opportunity to boost its exports and attract American investment. Two bills introduced in the US Senate would challenge China's trade practices, benefiting India's manufacturing sector, GTRI reports.

Vikrant Shekhawat : Oct 05, 2024, 06:00 AM
US China Trade War: The growing trade war between the US and China can have many positive consequences for India. According to a new report by research institute Global Trade Research Initiative (GTRI), this situation can help India increase its exports and attract investment from US companies.

What is in the report?

The GTRI report states that two bills introduced in the US Parliament's upper house, the Senate, last month, the Permanent and Normal Trade Relations Act (PNTR) and the 'Non-Market Duty Evasion Elimination Act' (ANTE) can further intensify the trade war with China. The passage of these bills can have a wide-ranging impact on the global economy.

The main objective of these bills is to counter China's trade practices, which have a provision to increase tariffs and create new trade barriers. GTRI has reported that the PNTR Act aims to gradually end China's favorable trade status, while the ANTE Act will ensure tough action on non-market economies like China and Russia.

Purpose of the bills

GTRI founder Ajay Srivastava says that the purpose of these bills is to protect American industries. Along with this, these bills provide new opportunities for countries like India to develop their manufacturing sector. He said that as American companies are looking for alternatives to China, investment in electronics, textiles and manufacturing in India is expected to increase, which will strengthen India's position in the global supply chain.

New opportunities for India

Ajay Srivastava suggested that India should reconsider its proposal to invite Chinese companies and investment to increase exports. He said that high duty on Chinese products could provide an opportunity to strengthen India's manufacturing sector.

According to him, both the bills create growth opportunities in local industries. Srivastava said that America is trying to reduce its dependence on China, which can attract more investment in India's expanding manufacturing sector, especially in electronics, textiles and other industries.

Conclusion

This is a crucial time for India as the US-China trade war is creating new opportunities for trade and investment. If India adopts the right strategy, it can not only increase its exports but also strengthen its economic position by attracting US companies for investment. At this time, India has a golden opportunity to increase its manufacturing capabilities and strengthen its position in the global supply chain.