India-US Trade Agreement: Which Everyday Items Could Become Cheaper Or Costlier?

After the announcement, Commerce Minister Piyush Goyal said, “We all know how PM Modi is worried about the interests of our farmers, those in animal husbandry and diary, and has secured their interest to be compromised….even in the US trade deal, India’s sensitive sectors, agriculture and dairy, have been protected.” Here’s a look at the everyday items that might get cheaper and costlier following the deal.

According to reports, American goods imported into India could see a decline in retail prices as tariff relief eases entry costs.

Agricultural goods such as like pulses, dairy, processed foods are likely to benefit from reduced import levies, offering potential price relief to consumers amid rising food inflation.

Tech hardware and components like laptops, gadgets, electronics may also become more competitively priced in the Indian market.

Consumer products like processed foods, appliances could see improved affordability as import-related expenses decrease.

Indian sectors such as textiles and apparel may benefit from tariffs cut, lowering landed costs in the US. Gems and jewellery export may become more competitive.

Industrial categories including steel, chemicals, engineering goods might have a better market access and less trade fiction. 

What May Remain Expensive:
- Steel, Aluminium, Copper: U.S. Section 232 duties remain around 50% and will continue to face high entry barriers.
- Tarrifs can still be around 25% on few auto components owing to limited tariffs relaxation.