September 3, 2025

The heat is on! The US has slapped a mighty 50% tariff on Indian goods entering America since August 27. But India’s Commerce and Industry Minister, Piyush Goyal, is all set to fight back. On Wednesday, he will sit down with top exporters and representatives from all export promotion councils and the Federation of Indian Export Organisations (FIEO) in New Delhi. What’s cooking? They will talk about smart ways to push Indian exports even higher despite these hefty duties. The Commerce Ministry isn’t wasting a moment. They are crafting action plans for the short, medium, and long term to help exporters stay strong. Right now, they are thinking of easing the rules for Special Economic Zone (SEZ) units and allowing a new inventory model for e-commerce exports. These moves aim to ease cash flow, avoid company bankruptcies, make SEZ units more flexible, and boost targeted import substitution. Looking ahead, the government plans to use India’s free trade agreements more aggressively. They also want to improve connections between buyers and sellers and strengthen GST reforms to make Indian goods more competitive globally. Despite all the challenges, Indian exports showed a strong comeback in July, growing by 7.29% to reach USD 37.24 billion, after two months of decline. However, the trade deficit widened to USD 27.35 billion, an eight-month high in July. For April to July 2025-26, exports rose 3.07% to USD 149.2 billion, while imports increased by 5.36% to USD 244.01 billion, resulting in a trade deficit of USD 94.81 billion. The big question: Can these new government plans help Indian exporters dodge the tariff storm and keep the trade winds blowing strong? Stay tuned, because this battle of global trade is just heating up!

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Tags: Exports, Tariffs, Piyush goyal, Commerce ministry, Sez, U.s. trade,