Trump Tariff War / 'Tariff' missile removed from India's sight, smile will come on investors' faces

The US has deferred the additional import duty imposed on India for 90 days. As per the White House's order, India will no longer be charged reciprocal tariffs. This is expected to lead to a rise in the stock market on Friday, which may provide relief to investors.

Trump Tariff War: There is news of great relief in the field of global trade. The reciprocal tariff imposed on India by the world's largest economy, US President Donald Trump, has been suspended for 90 days. This means clearly - US tariffs will no longer be applicable on India, which is considered an important step towards maintaining the trade balance between the two countries. After this order issued by the White House, a positive atmosphere can be created in the Indian stock market on Friday.

Important order of the White House

The White House issued an order late Thursday night saying that the additional customs duty imposed on India will be suspended till July 9, 2025. This decision comes after Trump's statement in which he talked about postponing the tariff imposed on 60 countries for three months. This decision of America has given relief to India in global trade, especially at a time when there is an atmosphere of global recession and instability in the market.

Why was the tariff step taken?

Donald Trump had announced the imposition of tariffs on about 60 countries in early April. Its purpose was to reduce the growing trade deficit of the US and promote domestic production. This included steel, shrimp, semiconductors and other industrial products coming from countries like India. An additional duty of 26 percent was imposed on India, which was relatively less than countries like Thailand, Vietnam and China.

Will some duties still remain applicable?

Although the tariff suspension is a relief news for India, the US has made it clear that the base tariff of 10 percent will still be applicable. Also, the 25 percent duty already applicable on certain products like steel, aluminum and automobile parts will also continue. At the same time, some major sectors like semiconductors, medicines and energy products have been kept in the exemption category.

Positive effect can be seen in the stock market

The effect of this order can be seen directly on the stock market. Experts believe that there may be a bullish environment in the market on Friday. On Wednesday, the market fell by 380 points and so far the market has fallen 15% from its September high, causing investors to lose more than Rs 70 lakh crore. In such a situation, this relief news can fill investors with new energy.

What are the experts saying?

FIEO Director General Ajay Sahai said that this is a big strategic victory for India. This will not only provide relief to exporters but will also bring stability in US-India trade relations. At the same time, BlackRock CEO Larry Fink had recently said that a decline of up to 20 percent is possible in global markets, in such a situation, this tariff suspension by America can be a positive sign for many countries.