New Delhi: India could benefit from relatively lower US tariffs than many countries in the Asia Pacific, which would help India attract further investment flows and support its development as a global manufacturing hub, Moody’s Ratings said on Thursday.
The finalisation of a free trade agreement (FTA) with the UK in May and ongoing negotiations for a similar pact with the European Union are expected to further support such progress, it added.
However, the ratings agency cautioned that the US’ efforts to reshore certain manufacturing segments could challenge the extent to which India gains.
In April, the US imposed a 26% reciprocal tariff on Indian goods.
Content Source: economictimes.indiatimes.com