Union Finance Minister Nirmala Sitharaman on Monday said it is too early to assess the impact of the recent tariff changes announced by the United States, adding that the Commerce Ministry is currently reviewing the situation. FM Sitharaman's remarks came after fresh trade tensions emerged following a decision by the US Supreme Court against sweeping import tariffs imposed earlier by the administration of Donald Trump.
Subsequently, President Trump announced a 10 per cent tariff on imports from all countries, including India, starting February 24 for a period of 150 days. A day later, he said the tariffs would be increased to 15 per cent. When asked about the likely impact of these tariff changes on the Indian economy, FM Sitharaman said it was "a bit too soon" to comment.
“The Commerce Ministry is examining the situation, and a delegation will decide on the timing of further trade negotiations. It’s a bit too early for me to comment," FM Sitharaman told reporters. The Finance Minister said India remains committed to signing trade agreements with various countries to expand global market access.
“India has already signed trade pacts with countries such as Australia, New Zealand, the UAE, Qatar, Oman, as well as blocs like the EU and the UK," she stated. "India wants to continue engaging with global markets and ensure its economy benefits from international trade,” FM Sitharaman added.
Speaking after the customary post-Budget meeting with the Central Board of Directors of the Reserve Bank of India, the Finance Minister also addressed concerns over rising gold prices. FM Sitharaman explained that the recent spike in gold prices is largely due to increased buying by central banks across the world.
"Most countries today, particularly their central banks, are buying gold and silver and storing them," she said. FM Sitharaman added that gold has always been a preferred investment for Indian households and that demand usually rises during the festive season.
The Finance Minister assured that the government and the RBI are closely monitoring the situation. However, FM Sitharaman said the price rise has not reached alarming levels so far.