Brief by Shorts91 NewsDesk / 06:12am on 08 Aug 2025,Friday Business
Moody’s has warned that US President Donald Trump’s decision to double tariffs on Indian goods to 50% could derail India’s manufacturing ambitions and slow GDP growth by 0.3 percentage points from the projected 6.3% for FY2025–26. The tariff hike, imposed over India’s continued import of Russian oil, places Indian exports at a steep disadvantage compared to other Asia-Pacific nations. Moody’s cautioned that the widened tariff gap may reverse recent investment gains, especially in high-value sectors like electronics. While India’s strong domestic demand and forex reserves may cushion the blow, foreign investors have already pulled $900 million from Indian equities in August. The Reserve Bank of India has maintained a neutral stance amid rising trade uncertainty. (PC: NBC & Al Jazeera)
