India Unfazed by US Tariffs, Focuses on Boosting Domestic Demand

As of August 30, 2025, the Indian government is working to ensure that industry does not face difficulties from the recent US tariffs on India. Commerce and Industry Minister Piyush Goyal has stated that efforts are ongoing to diversify exports and boost domestic demand to mitigate the impact.

Goyal has sought to allay concerns, noting that India's share in global exports is only 2% and the country is more import-dependent. He has urged industries to identify affected sectors and explore alternative markets, as the government is reaching out to other parts of the world for new trade opportunities.

To support the domestic manufacturing sector, the minister said the upcoming GST Council meeting will consider reforms to simplify the tax structure and reduce costs for consumers, thereby boosting consumption. Goyal also expressed confidence that India's exports this year will exceed last year's levels.

While open to good free trade agreements, the minister made it clear that India will neither bend nor become weak in the face of any discrimination. The government is committed to capturing new markets and doubling bilateral trade with Africa by 2030.