Amid escalating global trade tensions, particularly with the United States imposing additional tariffs on Indian goods, Union Minister Piyush Goyal has asserted India's unwavering stance on the global stage. Speaking at the Business Today India@100 Summit, Goyal declared that India would not "bow down to anybody". This resolute statement comes in response to the U.S. decision to impose a 25% tariff on Indian goods following New Delhi's continued purchase of Russian oil.
Goyal highlighted India's growing strength and self-confidence, emphasizing its annual growth rate of 6.5% with further acceleration on the horizon. He dismissed the notion of deglobalization, suggesting instead that nations are actively restructuring their trade routes and partnerships. He expressed confidence that India's exports would surpass the previous year's figures, supported by measures designed to counter trade barriers.
In discussions about future Free Trade Agreements, Goyal indicated that India's approach has evolved beyond simply seeking duty concessions. He recalled negotiations with the four-nation EFTA bloc, emphasizing India's position as a USD 4 trillion economy with a youthful population, contrasting it with the aging populations of the EFTA nations. This led to an agreement where the EFTA nations would invest USD 100 billion in India, creating 1 million direct jobs and approximately 5 million jobs in total. The EFTA agreement is expected to take effect from October 1st, with benefits becoming visible thereafter.
Addressing criticism from a Congress MP who called the Indian economy "dead," Goyal condemned the remarks as shameful and asserted that the nation would not forget such demeaning comments. He lauded India's economic resilience, pointing to the strength of the country's currency, foreign exchange reserves, and stock markets.
Goyal's comments followed President Trump's imposition of a 50% tariff on certain Indian goods. Despite the expected dip in US-bound exports, Goyal projected record exports and emphasized India's economic strength, global relevance, and trade resilience. He stated that India's confidence is high and that exports in the current financial year would surpass last year's levels, regardless of the high US tariffs.
Commenting on the global trade realignment initiated by the U.S., Goyal acknowledged the constant evolution of the world and the emergence of new trade pathways. He noted that the world is undergoing a churn, with countries rising and falling, which is a natural part of history. Despite this, he affirmed that there is no retreat from globalization but rather a restructuring of trade routes and partners. He also mentioned that many countries are eager to collaborate with India and that India is in discussions with Oman, the European Union, the US, Chile, Peru, and New Zealand regarding trade agreements.
Amid the rising tariff tensions with the United States, the Indian government has declared that it will take all necessary actions to protect national interests. While Trump has stated that there won't be any negotiations with India until the tariff dispute is resolved, India remains firm in its stance. India will not compromise on the interests of its farmers, fishermen, and dairy farmers, even if it means paying a heavy price.
