US Tariff Hike on Indian Goods Prompts High-Level Meeting at Prime Minister’s Office Tomorrow

Big meeting of PMO: After the US doubled the duty on Indian products, the government has started taking the situation seriously. According to sources, the Prime Minister's Office (PMO) will hold a high-level meeting on August 26. In this, possible measures will be discussed to provide relief to Indian exporters who are facing the impact of increased tariffs. This meeting will be chaired by the Principal Secretary to the Prime Minister.

The US administration has increased the duty on Indian goods from 25% to 50% from Wednesday. This decision has raised concerns among the industries exporting to the US. Companies say that their costs had already increased due to the high duty, and now their competitiveness is being directly affected.

Commerce Ministry Engages With Exporters

The Ministry of Commerce and Industry has started discussions with export promotion councils and industry representatives to understand the situation. The ministry believes that the solution to this problem can be found by providing targeted assistance to specific industries rather than taking steps that impact the wider economy.

Exporters Demand Support From Government

Exporters have demanded a facility like the Emergency Credit Guarantee Scheme (ECLGS) from the government to provide working capital and risk cover without collateral. However, officials say sector-specific assistance could prove more effective. Small industries and micro units suggest that if special credit lines are made available with collateral support, they will get immediate relief.

High Level Meeting Scheduled Tomorrow

According to sources, the government is also considering the possibility of a cluster-based working capital fund. This can reduce the liquidity problem to a great extent. Experts say that the focus of the government's strategy is the protection of small and medium enterprises (SMEs) and export-dependent units, as these are the most vulnerable to global shocks. The outline of India's response is expected to be finalized in the meeting on August 26 so that timely steps can be taken.

US Tariffs Threaten Indian Exports

The US tariff hike is expected to impact India's key industries such as textiles, leather, engineering goods, and specialty chemicals. Exporters fear that this will not only hurt their profits but may also increase pressure on the global supply chain. In such a situation, expectations of a concrete and targeted relief package from the government have increased.