Tax
International Trade
Regulatory
Litigation
Luthra and Luthra Law Offices New Delhi
Ernst & Young in Gurgaon and New Delhi
Vaish Associates & Advocates New Delhi
For a list of select transactions, please contact the individual lawyer
National Law Institute University, Bhopal (B.A., LL.B. (Hons.), 2007)
Indian Institute of Foreign Trade, New Delhi (MBA(IB), 2013)
Delhi, India (2007)
Reciprocal Tariffs: What Can India Expect?
The recent announcement of reciprocal tariffs by the U.S. government, aimed at addressing trade imbalances and reinforcing domestic economic security, marks a significant shift in global trade policy. As India remains a key trading partner of the U.S., these tariffs are expected to reshape bilateral trade dynamics and may pose challenges for Indian exporters.
With the U.S. being India’s biggest export market, sectors such as engineering goods, pharmaceuticals, and electronics may face potential disruptions. To mitigate the impact and safeguard economic interests, the Indian government has undertaken strategic measures, including tariff reductions and negotiations for a Bilateral Trade Agreement (BTA).
This note examines the implications of the U.S. reciprocal tariff regime for India, assesses the government’s response, and outlines potential strategies to navigate the evolving trade landscape.
Proactive Pathways to Navigate Emerging Carbon Taxes
The global focus on mitigating climate change has spurred the swift development and implementation of policies aimed at curbing greenhouse gas emissions. Among these measures, carbon taxes and mechanisms such as the European Union’s Carbon Border Adjustment Mechanism (“EU CBAM”) have emerged as pivotal tools for integrating environmental accountability into global economic activities. These policies are poised to bring substantial changes to the dynamics of international trade.
For Indian exporters, particularly those in carbon-intensive sectors like iron and steel, cement, fertilizers, aluminum, electricity, and hydrogen, the EU CBAM represents both a challenge and an opportunity. While the regulation primarily imposes compliance obligations on EU importers, Indian businesses must act swiftly. The need to monitor evolving CBAM regulations, forecast financial impacts, optimize supply chains, and establish robust governance frameworks has never been more critical.
This note delves into the framework of the EU CBAM, examines its implications for Indian exporters, and highlights practical strategies businesses can adopt to navigate this shift towards a carbon-conscious trade landscape.