exports

The bigger fear is a recession in the US, but otherwise, exporters see long-term advantage even in a lean season, especially with a Delhi-Washington trade deal likely & China-US relations deteriorating

New US tariffs are expected to significantly impact India's automotive component sector, potentially reducing operating profits by 10-15%. ICRA forecasts a moderation in revenue growth for FY2026 due to anticipated decline in US exports. Despite these challenges, India aims to leverage its cost competitiveness and is seeking relaxed export controls and enhanced tech access from the US.

Amid escalating US tariffs, Chinese firms are seeking assistance from Indian exporters to maintain their American clientele. Indian companies are expected to receive commissions for facilitating these transactions, particularly in sectors like hand tools and electronics. This coincides with advancing trade discussions between India and the US, potentially opening up more opportunities for Indian exporters.

India is set to formally request the US for relaxed export controls and greater access to advanced technologies, similar to that of close allies, under the proposed bilateral trade agreement. New Delhi seeks enhanced access in sectors like telecommunications, AI, and semiconductors, while pushing for tariff reductions on labor-intensive exports.

For the first time, 14 tonnes of Ahilyanagar, Maharashtra-grown pomegranates have been shipped to the United States via sea, arriving in New York in March after a five-week journey. This successful export, facilitated by APEDA and ICAR, showcases the Bhagwa variety's excellent quality and extended shelf life.

The Indian government is evaluating the impact of Pakistan's airspace closure on air cargo to key destinations, but exporters anticipate minimal disruption due to the small percentage of goods transported by air. A ban on cargo transshipments from Bangladesh is expected to stabilize prices, while previous tariff deadlines led to shipment surges, particularly in garments and electronics.

Chinese companies are reportedly evading steep US tariffs by fraudulently exporting goods as South Korean products, according to Nikkei Asia news. Korea Customs Service revealed falsely labeled exports reached 29.5 billion won in early 2025, with 97% destined for the US.

China's rare-earth export controls, intended as a strategic advantage, may backfire by incentivizing other nations to develop their own processing capabilities. Despite China's dominance in rare-earth mining and refining, its restrictions are driving global diversification through material substitution, recycling advancements, and efficiency improvements. This shift presents an opportunity for countries like India to establish a critical mineral supply chain.

Tesla's plans to produce thousands of Optimus robots this year face disruption due to China's rare earth export restrictions, a retaliatory measure against President Trump's tariffs. Elon Musk confirmed the issue, stating Tesla is working with China to secure necessary export licenses for the magnets essential for robot production.

To take advantage of US tariffs against China, Indian exporters will have to prove most of the value addition happened here. Merely assembling Chinese components into goods won’t do

The U.S. reciprocal tariffs on China are set to cause major disruptions to global supply chains, forcing American companies to explore alternative suppliers. Electronics is one of the key sectors for India to gain with India's exports valued at nearly USD 14 Bn.

Taiwan's cabinet unveils a budget of NT$410 billion to tackle US tariffs. President Lai Ching-te aims to protect exporters from a proposed 32 percent US tariff. The budget will support industries, employment, and public welfare. Coastal patrols and defence will also be strengthened. A previous assistance package is included. TSMC plans a $100 billion US investment.

US Treasury Secretary Scott Bessent criticized China's export-driven economic model as unsustainable, harming both China and the global economy. He defended President Trump's tariffs as a means to foster deeper collaboration and address policy choices that have weakened US manufacturing.