Latest news with #ReutersIndia
Economic Times
19-05-2025
- Business
- Economic Times
Decoding the US Tariff Exclusion List—What it means for Indian exporters
Reuters India's exports of items on the exclusion list accounted for 29.1% of its total exports to the US, offering a reprieve from the new tariffs and highlighting significant export opportunities. The Trump-era tariffs that took effect on April 2, 2025, were largely driven by the substantial trade deficit of the US, which reached $1.48 trillion in 2023. To regulate this massive merchandise trade imbalance, the White House issued Executive Order 14257 on April 2, 2025, introducing reciprocal tariffs on the US's trading partners. The Executive Order includes two Annexes, with Annex I outlining additional ad valorem tariffs imposed on trading partners based on the US trade deficit, including a 26% tariff on India. Alarmed by the move, India initiated bilateral talks with the US even before the April 9 announcement of the 90-day tariff suspension. This headline figure, however, only reveals a portion of the broader what has not received adequate attention is the contents of Annex II of the order that provides an exclusion list, which includes items that are completely exempted from the additional tariffs. The list identifies products, down to the 8-digit level of the Harmonized Tariff Schedule of the United States (HTSUS), that are exempt from the additional duties. An essential layer of nuance lies in the scope of these II specified 1,039 tariff lines under the exclusion list. Subsequently, the Presidential Memorandum announced on April 11, 2025, further expanded these carve-outs to include a wide range of high-tech goods, including semiconductors, smartphones, automatic data processing machines, transistors, and integrated circuits. Of the entire exclusion list, the top products included organic chemicals, accounting for 26.0%, followed by wood products at 14.1%, inorganic chemicals at 9.9%, copper at 7.6%, mineral fuels at 6.6%, electrical machinery at 5.6%, and pharmaceuticals at 5.3%. India's exports of items on the exclusion list accounted for 29.1% of its total exports to the US, offering a reprieve from the new tariffs and highlighting significant export opportunities. Among India's top exports to the US were gems and jewellery at 13.4%, electrical machinery at 13%, pharmaceuticals at 10%, and mineral fuels at 8.6%—together comprising a substantial share of the overall trade. A number of these items will benefit from exemption under the newly implemented tariffs. Smartphones, one of India's top exports to the US, have been spared, and nearly half of India's electrical item exports by value now escape the tariff dragnet. For the Indian pharma sector, 99.7% of its export value has been exempted. Also, Indian exports of mineral fuels are completely immune to the additional duties. The exclusion list, however, does not offer any relief to India's largest export item to the US—gem and jewellery, which will remain largely exposed to the brunt of the new tariffs. An interesting insight emerges when items in the exclusion list are classified by the level of skill and technology into four main groups: primary and agro-based manufactures, resource-based manufactures, low-technology manufactures, and medium- and high-technology manufactures. Almost 75% of the exclusion list belongs to medium- and high-tech manufactures, and resource-based manufactures (comprising largely of metals, mineral products, and organic chemicals), thus protecting India's exports worth almost $21.5 billion. Distribution of value of exports and number of product lines in exclusion list by technology and skill category: This is not surprising, given that India's exports to the US have undergone structural changes in the past few years. In 2010, low-technology manufactures accounted for 36% of India's exports, forming the largest chunk. However, by 2023, the share of these items in India's exports fell to 26%. On the other hand, medium- and high-technology manufactures accounted for 31% of India's exports in 2010 but increased to 42% in 2023. Low-technology products have, in fact, drawn the highest tariffs at 29% and remain the most exposed under the new tariff regime. While the US exclusion list has helped buffer a significant portion of India's exports from the tariff shock, the volatility surrounding the new Trump-era trade policy raises concerns. With the administration's unpredictable stance, the reintroduction of currently exempt items into the tariff net remains a real possibility. Nisha Taneja is professor at the Indian Council for Research on International Economic Relations (ICRIER); Nirlipta Rath and Vasudha Upreti are Research Assistants at ICRIER. Views are personal.
&w=3840&q=100)
First Post
06-05-2025
- Politics
- First Post
Operation Sindoor LIVE Updates: India hits 9 terrorist sites in Pakistan for Pahalgam attack
Operation Sindoor LIVE Updates: The cross-border operation struck nine sites 'from where terrorist attacks against India have been planned and directed' read more India has struck terrorist infrastructure in Pakistan and Pakistan-occupied Jammu and Kashmir spread across 9 sites. Reuters India launched a series of precision strikes under Operation Sindoor early Wednesday (May 6), targeting terrorist infrastructure in Pakistan and Pakistan-occupied Jammu and Kashmir (PoJK) in retaliation for a deadly attack last month in the northern region of Kashmir. According to a statement issued by India's Ministry of Defence, the operation struck nine sites 'from where terrorist attacks against India have been planned and directed.' The strikes, the statement said, were 'focused, measured and non-escalatory in nature,' deliberately avoiding any Pakistani military installations. The cross-border operation follows the April 22 terrorist attack in Pahalgam, in which 25 Indian citizens and one Nepali national were killed. Indian authorities had vowed to hold the perpetrators accountable, and Wednesday's strikes appear to mark the first military response. 'India has demonstrated considerable restraint in selection of targets and method of execution,' the ministry said. 'This operation underscores India's resolve to hold perpetrators accountable while avoiding unnecessary provocation.' A formal briefing by Indian defense and military officials is expected later in the day, where further details on strikes are anticipated to be shared. In a post on the social media platform X, formerly Twitter, the Indian Army said: 'Justice is served.' Meanwhile, Pakistan's military confirmed that the strikes occurred and claimed that they happened using missiles fired from within Indian territory. According to Dawn newspaper, the Director General of Inter-Services Public Relations (ISPR), Lt. Gen. Ahmed Sharif Chaudhry, said that three Pakistani citizens were killed and 12 injured in the attacks. Following the strikes, India has placed its air defence units along the border on high alert, according to Indian news agency ANI. The move appears aimed at ensuring readiness in case of further escalation. The operation comes amid escalating tensions between the nuclear-armed neighbours, both of whom have a long history of conflict over Kashmir. The strikes are reminiscent of previous Indian military actions across the Line of Control—such as the 2016 'surgical strikes' and the 2019 Balakot airstrikes. By targeting terrorist facilities while deliberately avoiding Pakistani military assets, India has signalled a calibrated response designed to impose costs without provoking wider conflict.
&w=3840&q=100)
First Post
06-05-2025
- Business
- First Post
How govt is fast-tracking 4 big hydropower projects in Kashmir after Indus Waters Treaty suspension
India has advanced the start date of four under-construction hydropower projects in the Kashmir region after the suspension of the 1960 Indus Waters Treaty with Pakistan. We take a look at progress so far on each project read more A view of Baglihar Dam, also known as Baglihar Hydroelectric Power Project, on the Chenab river which flows from Kashmir into Pakistan, at Chanderkote in Jammu region on Tuesday. Reuters India has advanced the start date of four under-construction hydropower projects in the Kashmir region after the suspension of the 1960 Indus Waters Treaty with Pakistan, according to a Reuters report, citing government document and an industry source. The updated schedule for the projects, whose construction Pakistan generally opposes because it fears it would lead to less water downstream, is another sign of how India is trying to take advantage of its unilateral suspension of the Indus Waters Treaty of 1960 following a deadly attack in Pahalgam last month, which claimed 26 lives, added the report. STORY CONTINUES BELOW THIS AD India's decision to suspend the treaty and expedite these projects signals a significant policy shift aimed at asserting greater control over its water resources in response to cross-border terrorism. Earlier today, Prime Minister Narendra Modi also reaffirmed government's stance, saying that the decision to put a freeze on the Indus Water Treaty will not be reversed and that India's water will flow for India's benefit. Speaking at an ABP Network event on Tuesday evening, PM Modi said, 'These days, there is a lot of discussion in the media about water… Earlier, even the water that was India's right was flowing out of the country. Now, India's water will flow for India's benefit, it will be conserved for India's benefit, and it will be used for India's progress'. According to Reuters, citing the document, Modi government has asked authorities to clear hurdles to speedy construction of four hydro projects with a combined capacity of 3,014 megawatts. The four projects are: Pakal Dul (1,000 MW), Kiru (624 MW), Kwar (540 MW) and Kirthai Stage-1 (930 MW). All of them are on the Chenab River, whose waters are mainly meant for Pakistan but India is allowed to build run-of-water hydro projects without any significant storage. We take a look at progress so far on each project as India accelerates strategic hydropower development following treaty withdrawal: STORY CONTINUES BELOW THIS AD 1. Pakal Dul HE Project (1,000 MW) Features the highest concrete-faced rock-fill dam in India at 167m; 72m of dam height already constructed with 24.78 lakh cubic meters filled Head Race Tunnel excavation underway at a fast pace — critical to project completion Spiral casing for Unit-1 and Unit-2 completed in February 2024 Government has approved setting up transmission lines to expedite power evacuation Consents for power supply received from Haryana, Maharashtra, Karnataka 2. Kiru HE Project (624 MW) Dam concreting works are vital; 3.5 lakh cubic meters completed out of a total 13.95 lakh cubic meters Project is progressing in line with scheduled timelines Power Purchase Agreement (PPA) for 543 MW signed with Gujarat Urja Vikas Nigam Ltd (GUVNL) Consents for power purchase received from Chhattisgarh, Uttar Pradesh, and Karnataka 3. Kwar HE Project (540 MW) Achieved major milestone in January 2024 with diversion of River Chenab — paving the way for dam construction Main dam works now actively underway PPAs signed with CSPDCL and GUVNL Power purchase consents received from Haryana, Maharashtra, and Karnataka 4. Kirthai Stage-1 (930 MW) A run-of-river project located 25 km upstream of Kiru in Kishtwar district, J&K Designed to generate 3,329.52 million units annually (90% dependable year) Includes 121m high concrete gravity dam Project launch cleared after India suspended IWT — previous requirement for treaty clearance no longer applicable With inputs from agencies
&w=3840&q=100)
Business Standard
21-04-2025
- Business
- Business Standard
Mahindra Logistics Q4 results: Loss narrows to Rs 6.75 cr; expenses up 7.4%
Revenue from its mainstay contract logistics business, meanwhile, rose 9% year-on-year Reuters India's Mahindra Logistics reported a smaller quarterly loss on Monday, helped by growth in its key contract logistics division and a narrower loss in its express commerce segment. It reported a consolidated net loss of Rs 6.75 crore ($793,045) for the January-March period - its ninth consecutive quarterly loss - compared to a loss of 128.5 million rupees a year earlier. Total expenses rose 7.4% to Rs 1,571 crore. Its revenue from operations rose 8% to Rs 1,570 crore. KEY CONTEXT Mahindra Logistics, which has grappled with losses from the 2022 acquisition of express commerce firm Rivigo, said its core losses in the segment narrowed to Rs 11.6 crore for the fourth quarter from 149 million rupees a year earlier. Revenue from its mainstay contract logistics business, meanwhile, rose 9% year-on-year. India's $342 billion logistics sector remains highly competitive, with firms such as Blue Dart and Delhivery ramping up spending to attract clients and fend off pressure from the in-house logistics divisions of e-commerce giants like Amazon and Walmart-backed Flipkart.
