Trump 2 April Liberation Day: US President Donald Trump has declared April 2, 2025 as ‘Mukti Day’. From this day, they are going to put new tariffs on imported goods from different countries. Trump described it as a historic step for the US, aimed at freeing the country from dependence on foreign goods and strengthening the American economy. This announcement has created a global trade, debate and uncertainty between the market and consumers including India. This is likely to intensify the business war between the US and its trading partners.
What is ‘liberation day’? – Tariff Scheme and Objective
Trump called 2 April “Mukti Day” and said that his new tariff policy will free America from dependence on foreign goods. He says that these fees will be equal to taxes levied by those countries on American products. However, it is not yet clear how this policy will be implemented. Trump believes that the move will correct US trade imbalance and will get answers to countries that impose heavy duty on American goods. Trump wrote on his social media platform Truth Social, “Every country in the world has looted us, whether it is friend or enemy. Now the time has come that America will withdraw its money and respect.”
The Trump administration has indicated that these tariffs will be focused on countries with a large trade surplus with the United States, such as China, European Union, Mexico, Vietnam, Japan and India.
Which products will be subject to tariffs?
According to White House spokesperson Caroline Levit, Trump will unveil a plan to impose tariffs on almost all trading partners on Wednesday. The nature of this tariff is still not clear. Tariffs can be imposed on imported goods, especially from countries such as the European Union, South Korea, Brazil and India. Trump has already announced 25% tariffs on automobiles and auto parts. In addition, tariffs are also expected on industries such as oil and gas, agricultural products, pharmaceuticals and semiconductors. In particular, Trump has threatened to impose 25% tariffs on the countries buying oil and gas from Venezuela. However, he has indicated that some countries may be exempted.
Impact on trade and economy
Economists say that this move can provide some relief to American industries, but it will directly affect consumers, as imported goods will become more expensive. The production cost of many companies will increase, affecting the global supply chain. White House business advisor Peter Navarro said that the US could get an additional $ 600 billion annual revenue from these tariffs.
What will be the effect on India?
These can affect tariff exports for countries like India. India is a major exporter of products such as furniture, electronics and textiles to the US. If a tariff is imposed on India, then Indian companies may suffer losses. On the other hand, some experts believe that Trump’s ‘flexibility’ reflects the possibility of relief for friendly countries like India.
Negative effects on India
Exports fall: India exports textiles, furniture, auto parts, electronics and pharmaceuticals to the US. These products will become more expensive by tariffs, which can reduce demand.
Pharmaceutical Industry: India is a major supplier of generic drugs. Tariffs may increase the prices of drugs.
Economic effects: Reduction in exports can cause damage to India’s small and medium enterprises, which will affect employment and foreign currency.
Potential positive aspect
Possibility of exemption: Given the strong relations between India and the US, India may get partial or complete discounts.
Manufacturing opportunity: India can become an attractive destination if American companies increase domestic production to reduce imports.
Competitive advantage with China: India can replace its American market by putting heavy tariffs on China.
Negotiations on Indo-US Trade Agreement
Meanwhile, India and the United States have decided to start talks under the bilateral trade agreement (BTA) in the coming weeks. The Ministry of Commerce said that the decision was taken after a four -day meeting, which discussed market access, tariff cuts and supply chain integration.
The post Trump April 2 Liberation Day: Warning of Trade War, know what will be the effect on India? First appeared on News India Live | Breaking India News, The Indian Headline, India Express News, Fast India News.
