Export Growth & Challenges
In July, exports saw a 7.29% rise, reaching $37.24 billion, yet the trade deficit stood at $27.35 billion. The US tariff hike imposed by Donald Trump and
an anti-dumping probe on solar panel exports have put pressure on Indian exporters. These actions, however, made the centre ask states to support them.
US Trade Talks Progress
India and the US have been actively involved in trade talks. The government is reviewing the 25% tariff imposed by President Trump. The Commerce Secretary confirmed India's full engagement in trade negotiations, signaling ongoing efforts to reach a fair trade deal amid the challenges.
Economic Impacts & Outlook
CreditSights suggests the US tariff could impact India's economy and banks. Despite these hurdles, S&P upgraded India's credit rating to 'BBB' after 18 years, with a stable outlook. The rural sector continued to outperform urban demand in the April-June period, according to NielsenIQ.
Asean Trade Pact Review
Piyush Goyal is looking to speed up talks to review the ASEAN trade pact. Small tea growers are asking the Centre to set up a fair price discovery mechanism. These actions demonstrate India's focus on strengthening trade relationships and supporting domestic industries in the current climate.
