Tariff worries, Trump's BRICS swipe spark worst rupee fall in three weeks
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The Indian rupee slumped on Monday as uncertainty about U.S. tariff policies resurfaced with President Donald Trump 's threat of a fresh 10% levy on BRICS countries compounding pressure on the local currency alongside peers like South African rand and Chinese yuan.Worries over U.S. trade policies dented risk sentiment across the board, pushing Asian currencies and equities into the red while U.S. equity futures pointed to a weak return from the long weekend.The rupee had declined to a low of 86.0275 per U.S. dollar during the session but pared losses to close at 85.85 per U.S. dollar, down 0.5% on the day, its worst performance since mid-June, when it traded in the shadow of a military conflict between Israel and Iran.In a social media post, President Donald Trump said the U.S. would start delivering tariff letters from 12:00 pm ET (1600 GMT) on Monday.In a separate post, he rolled out a wholly new tariff policy, calling for countries "aligning themselves with the Anti-American policies" of the BRICS developing nations to be charged an extra 10% tariff, with no exceptions to be granted.It was not immediately clear if Trump's tariff threat would derail trade talks with India and other BRICS nations. The South African rand fell 1% after Trump's threat while the offshore Chinese yuan was down 0.2%.The absence of progress on trade negotiations over the weekend has come as a negative surprise for markets with Trump's BRICS remark especially hurting the rupee, said Dilip Parmar, a foreign exchange research analyst at HDFC Securities.Parmar expects the Reserve Bank of India to step in to support the rupee if volatility remains elevated due to uncertainty on U.S. trade policies.On the day, traders also pointed to strong dollar demand from a large local private bank which pressured the local currency.A fall below the 85.80 level triggered stop-losses and accentuated the day's move, a trader at a state-run bank said. He expects the currency to weaken to 86.50 in the near-term in the absence of positive developments on the trade front.
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The Wire
38 minutes ago
- The Wire
India Poised to Become Global Air Cargo Hub – ACFI & ASCELA Insights Chart Roadmap for 2030 in its Knowledge Paper
ACFI signs MoU with TIACA and will be signing MoU's with Government Of Madhya Pradesh and Tripura New Delhi, Delhi, India (NewsVoir) Air Cargo Forum India (ACFI) and ASCELA Insights today released the knowledge paper titled 'India's Air Cargo Horizon – Seizing Global Reroutes, Regional Dominance and Resilience', which unveils a transformative vision to position India as a global air cargo hub. The knowledge paper was released today at the 4th ACFI Annual Conclave in New Delhi. With India's air cargo volumes projected to triple to 10 million metric tonnes per annum (MTPA) by 2030, the paper highlights the sector's rapid evolution, driven by the e-commerce boom, policy momentum, greenfield infrastructure and rising demand for high-value cargo, such as pharmaceuticals and perishables. As part of the strategic roadmap for the air cargo industry, ACFI is proud to announce landmark partnership with The International Air Cargo Association (TIACA) that will significantly bolster both regional connectivity and global knowledge sharing. Also, soon ACFI will be signing MoU's with Government of Tripura and Government of Madhya Pradesh. Speaking at the launch, Mr. Sanjiv Edward, President, ACFI, said, 'The Indian air cargo sector is at a pivotal inflection point and undergoing rapid transformation. At this crucial juncture, this knowledge paper outlines the strategic roadmap until 2030, infrastructure requirements, policy reforms, and the initiatives by the air cargo industry to achieve the ambitious target of 10 MTPA of air cargo volumes set by the Ministry of Civil Aviation, Government of India. This paper has laid down a clear action plan for all stakeholders of the industry. India is uniquely positioned to redefine global cargo corridors. With bold policy reforms and strategic investments, we can build a resilient, digitised, and world-class logistics ecosystem.' Shri. Piyush Srivastava, Sr. Economic Advisor, Ministry Of Civil Aviation said, "Air infrastructure today faces key global dichotomies—demand is rapidly growing in the Eastern Hemisphere, while critical services like manufacturing and MRO remain concentrated in the West. This imbalance is bound to shift. As demand grows, supply will follow. It's not just about 'Made in India'; it's about 'Make in India'—a strategic priority for us moving forward.' He further added, "The Aviation sector is highly sensitive to global geopolitical shifts. While events like the Red Sea crisis have offered temporary advantages for the Indian air cargo system. But prolonged airspace closures over Pakistan and over three years of the ongoing Ukraine-Russia conflict, have significantly disrupted operations and increased costs. These challenges are not only unpredictable but inevitable. The only sustainable path forward lies in embracing technology, innovation, and disruption.' Speaking at the launch, Dheeraj Rastogi, Principal Commissioner Customs, Delhi, 'India's customs operations have undergone a significant transformation—from early digitization efforts to the integration of advanced technologies such as artificial intelligence, blockchain, and risk-based segmentation,' stated Mr. Dheeraj Rastogi. These innovations have contributed to a substantial reduction in transaction costs and improved the overall efficiency of cargo processing.' He further added, 'Currently, 52% of air cargo is cleared on the same day, with average clearance time at Delhi Air Cargo reduced from 41 hours to 35 hours. The department remains committed to maintaining a fine balance between revenue mobilization, national security, trade facilitation, and legal compliance. Given the increasing complexities introduced by e-commerce, a collaborative, data-driven approach between industry stakeholders and regulatory authorities is imperative. Our collective goal must be to build a seamless, AI-enabled ecosystem that supports India's emergence as a global leader in air cargo logistics.' According to Mr. Glyn Hughes, Director General, TIACA, 'With TIACA representing the entire air cargo supply chain and ACFI representing the Indian air cargo industry, it is crucial we work together so that the world can receive Indian exports efficiently and bring the best practices achieved in other countries. Globally, every year, goods worth US$9 trillion are transported through air cargo, accounting for one-third of global trade. India is at the heart of the growing global trade, and we will work toward making air cargo an integral part of it. TIACA, with its global memberships, would be able to act as a support to the Indian air cargo industry in the fields of digitalisation, enhanced usage of modern technology, including AI and adoption of other global standards.' Together with the Ministry of Civil Aviation, ACFI is shaping a forward-looking roadmap to meet the growing demands of domestic and international logistics. These partnerships reflect ACFI's unwavering commitment to building a resilient, efficient and globally competitive air cargo ecosystem that supports India's economic aspirations. Key findings of the knowledge report • Capacity Concentration: 82% of air cargo is currently handled by just six airports (Delhi, Mumbai, Bengaluru, Hyderabad, Chennai and Kolkata), amplifying concentration risk and operational inefficiencies. • Growth Enablers: Digitisation, strategic airport locations in India, integrated multimodal corridors (PM Gati Shakti), and emerging connectivity in tier-2 cities. • Regulatory Gaps: Scalability of the sector is hindered by fragmented clearance systems, high dwell times (almost 12 hours for exports and 48 hours for imports) and limited transhipment readiness. • Investment Heatmap: High potential in cold-chain operations, Sustainable Aviation Fuel (SAF) production, automation and freighter fleet expansion. The secondary airports have the potential to play a critical role. The Government of India's initiative to significantly enhance air connectivity across India will give the required boost to the air cargo sector. At present, these secondary airports are underutilised due to poor infrastructure and limited airline networks. The report highlights the strategic action areas to triple air cargo handling to 10 MTPA by 2030. These strategic actions include: • Creation of transhipment hubs with 24x7 clearance and zero rescreening • National Unified Digital Clearance Window and Cargo Command Centres • Freighter acquisition incentives and plug-and-play terminals across regional hubs • ESG integration via green infrastructure, SAF blending, and inclusive workforce practices Global Inspiration, Local Action: Drawing on best practices from Singapore, Frankfurt and Dubai, the report advocates for modular warehousing, predictive slot allocation, and unified cargo community systems to manage rerouted and time-sensitive freight. The paper serves as a call to action for industry, government, and private stakeholders to forge collaborative pathways and enhance India's role in international trade and economic growth. Here are the key highlights of the Knowledge Report Key Highlights of the Knowledge Report India's Air Cargo Horizon: Seizing Global Reroutes, Regional Dominance and Resilience Indian Air Cargo Industry • Target: 10 MTPA by 2030 (from 3.71 MTPA in FY-2025) • Growth Drivers: • E-commerce boom • Greenfield airports (e.g., Jewar, Navi Mumbai) • Digitised customs, Unified Logistics Interface Platform integration • High-value cargo (pharma, perishables, electronics) Infrastructure & Operational Bottlenecks • 82% of cargo is handled by just 6 airports (Delhi, Mumbai, Bengaluru, Hyderabad, Chennai, Kolkata) • Secondary airports are underutilised due to poor infrastructure and limited airline networks • High dwell times: 12 hours (exports), 48 hours (imports) • Lack of dedicated transhipment zones and automation Privatisation & Policy Reforms • Rs. 6–7 lakh crore investment needed for Sustainable Aviation Fuel and infrastructure • Key initiatives: • Krishi UDAN 2.0 (50% freight subsidy for agri-perishables) • 100% FDI allowed in air cargo • SUGAM (Sustainable Green Airports Mission) • Dedicated air freight corridors and cargo subsidiaries (e.g., Air India) Regulatory & Governance Gaps • Cargo rescreening and high clearance times increase costs • Fragmented digital systems and inconsistent state regulations • Only ~10% transhipment share at Delhi vs. ~40% at global hubs • Limited SAF (Sustainable Aviation Fuel) production and adoption Building Rerouting Resilience • India lacks integrator hubs like Singapore (DHL South Asia) or Frankfurt (CargoCity South) • Best practices from global hubs: • Zoned infrastructure • 24/7 customs with fast lanes • Real-time digital coordination (ACCS, CCS) • Modular warehousing and predictive slot allocation Strategic Roadmap to 10 MTPA • Single-window digital clearance platform • Transshipment hubs with zero rechecks • Multimodal integration with Gati Shakti corridors • Plug-and-play cargo terminals and standalone cargo airports • IoT enabled cargo visibility and National Cargo Command Centres • Friegth acquisition incentives • National air cargo training alliance Accelerating ESG in Air Cargo • SAF blending targets: 1% by 2027 → 5% by 2030 • ESG Challenges: • High SAF cost (2.5x jet fuel) • Fragmented cold-chain • Low female workforce participation (<10%) • Limited automation and skilled talent • ESG Drivers: • Green airport infrastructure (solar, EVs, LEED) • CORSIA-linked emissions reporting • DE&I initiatives (e.g., IATA's '25 by 2025') Emerging Cargo Hubs • Navi Mumbai – Focus: Pharma, Perishables, Jewellery Potential: Multimodal Transhipment Hub • Jewa (Noida) – Focus: Electronics, Apparel Potential: Cold chain, IGI integration • Hyderabad - Focus: Pharma, Aerospace Potential: Dedicated Pharma infra Chennai - Focus: Leather, FMCG Potential: Cold chain, E-commerce • Guwahati - Focus: Tea, Perishables Potential: Gateway to North East (Disclaimer: The above press release comes to you under an arrangement with Newsvoir and PTI takes no editorial responsibility for the same.). PWR This is an auto-published feed from PTI with no editorial input from The Wire.
Time of India
39 minutes ago
- Time of India
S Jaishankar to visit China to attend SCO FMs meeting
External Affairs Minister S Jaishankar is set to visit China next week. He will attend the SCO foreign ministers' meeting in Tianjin. Discussions will cover SCO cooperation and global issues. This visit marks Jaishankar's first trip since the 2020 border standoff. The meeting aims to address various issues between India and China. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Beijing: External Affairs Minister S Jaishankar will travel to China to participate in the foreign ministers' meeting of the SCO bloc in the Chinese city of Tianjin next week, an official announcement here said on Meeting of the Council of the Ministers of Foreign Affairs of the SCO will be held in Tianjin on July 15, a statement by a spokesperson of the Chinese Foreign Ministry here said on addition to attending the SCO meeting, Jaishankar will also pay a visit to China, the spokesperson said, without specifying the invitation of the member of the Political Bureau of the Communist Party of China and Foreign Minister Wang Yi, foreign ministers of other SCO member states and heads of the bloc's permanent bodies will attend the meeting, the statement ministers will exchange views on SCO cooperation in various fields and major international and regional issues, it SCO comprises 10 member states - China, Russia, India, Iran, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Uzbekistan and Belarus.A host of issues between the two countries, including the current normalisation process between the two countries, China's stoppage of the key rare earth metals required to manufacture a host of products, including automobiles, are expected to figure in the reports said that Jaishankar will visit Beijing on July 13 for talks with visit follows the recent visits of Defence Minister Rajnath Singh and National Security Advisor Ajit Doval to would be Jaishankar's first visit to China after the ties between the two countries came under severe strain following the 2020 military standoff along the Line of Actual Control (LAC) in eastern may also visit India this month to hold a fresh round of talks with NSA Doval under the framework of Special Representatives (SR) dialogue on the boundary dispute, it is Wang and Doval are the designated SRs of the boundary countries held 23 rounds of talks under the SRs mechanism to resolve the vexed boundary dispute spanning 3,488 km, but without Minister Singh travelled to the Chinese port city of Qingdao last month to participate in the SCO defence ministers' is the current chair of the SCO, and it is hosting the meetings of the grouping in that his talks with Chinese Defence Minister Gen Dong Jun on June 26, Singh proposed that India and China should solve the "complex issues" under a structured roadmap comprising steps to de-escalate tensions along the frontiers and rejuvenate the existing mechanism to demarcate the and Dong held bilateral talks on the sidelines of a conclave of the Shanghai Cooperation Organisation (SCO) with a focus on maintaining peace and tranquillity along the Line of Actual Control (LAC).Singh had also emphasised the need to create "good neighbourly conditions" to achieve the best mutual benefits and called for "taking action on the ground" to bridge the "trust deficit" resulting from the 2020 eastern Ladakh border standoff, according to an Indian readout on the meeting on June to Singh's statement, Chinese foreign ministry spokesperson Mao Ning had said the boundary question is complicated, and it takes time to settle it".The military standoff between China and India in eastern Ladakh began in May 2020, and a deadly clash at the Galwan Valley in June that year resulted in a severe strain in ties between the two face-off effectively ended following completion of the disengagement process from the last two friction points of Demchok and Depsang under an agreement finalised on October and India are currently in the process of normalising decision to revive the SR mechanism and other such dialogue formats was taken at a meeting between Prime Minister Narendra Modi and Chinese President Xi Jinping in Kazan, Russia, on October Modi-Xi meeting came two days after India and China firmed up a disengagement pact for Depsang and the last few months, India and China have initiated a number of measures to repair the bilateral the two sides resumed the Kailash Manasarovar Yatra after a gap of nearly five years.
Time of India
40 minutes ago
- Time of India
Nimisha Priya death sentence in Yemen: Congress urges PM Modi's ‘immediate intervention'; calls for ‘utmost priority'
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