{"id":11269,"date":"2025-09-08T18:13:40","date_gmt":"2025-09-08T18:13:40","guid":{"rendered":"https:\/\/tezgyan.com\/index.php\/2025\/09\/08\/indias-gdp-may-take-0-6-hit-from-trump-tariffs-says-cea-nageswaran-economy-news\/"},"modified":"2025-09-08T18:13:40","modified_gmt":"2025-09-08T18:13:40","slug":"indias-gdp-may-take-0-6-hit-from-trump-tariffs-says-cea-nageswaran-economy-news","status":"publish","type":"post","link":"https:\/\/tezgyan.com\/index.php\/2025\/09\/08\/indias-gdp-may-take-0-6-hit-from-trump-tariffs-says-cea-nageswaran-economy-news\/","title":{"rendered":"India\u2019s GDP May Take 0.6% Hit From Trump Tariffs, Says CEA Nageswaran | Economy News"},"content":{"rendered":"


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CEA V Anantha Nageswaran has cautioned that US President Donald Trump\u2019s recent tariff hike could shave up to 0.6% off India\u2019s GDP this year<\/h2>\n
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CEA Nageswaran<\/p>\n<\/figure>\n

Chief Economic Adviser V. Anantha Nageswaran has cautioned that US President Donald Trump\u2019s recent tariff hike could shave up to 0.6% off India\u2019s GDP this year. \u201cI hope the additional penal tariff is a short-lived phenomenon,” Nageswaran told Bloomberg TV\u2019s Haslinda Amin on Monday. \u201cDepending upon how long it lasts even in this financial year, it may translate into a GDP impact of somewhere between 0.5% to 0.6%,” he added.<\/p>\n

The warning comes in the wake of Trump\u2019s decision last month to double tariffs on Indian goods to 50% as punishment for the country\u2019s continued purchase of Russian oil. These duties, now the highest in Asia, threaten to make Indian exports less competitive than those from rivals like Vietnam and Bangladesh. Labour-intensive sectors such as textiles and jewellery are expected to feel the brunt of the tariff shock. Nageswaran stressed that a prolonged period of uncertainty around US trade policy would pose a \u201clarger risk” for India.<\/p>\n

Despite the immediate headwinds, Nageswaran said he would stick to the government\u2019s GDP growth forecast of 6.3%\u20136.8% for FY26, pointing to strong momentum in the April\u2013June quarter, when the economy expanded 7.8%, the fastest pace in over a year.<\/p>\n

On domestic policy support, the CEA highlighted that the recent GST rate cuts combined with inflation at an eight-year low would provide a boost to consumption and disposable incomes. The GST Council last week approved reductions in taxes on several daily-use items to spur demand. Nageswaran estimated that these reforms could add between 0.2% and 0.3% to GDP.<\/p>\n

He also reiterated confidence that India would achieve its fiscal deficit target of 4.4% in the current year, aided by a record central bank dividend and government asset sales that are expected to offset revenue pressures.<\/p>\n

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Aparna Deb<\/a><\/p>\n

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More<\/span><\/p>\n<\/div>\n<\/div>\n

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More<\/span><\/p>\n<\/div>\n<\/div>\n

First Published:<\/span><\/p>\n
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September 08, 2025, 14:57 IST<\/p>\n<\/div>\n<\/div>\n

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Last Updated:September 08, 2025, 14:57 IST CEA V Anantha Nageswaran has cautioned that US President Donald Trump\u2019s recent tariff hike could shave up to 0.6% off India\u2019s GDP this year CEA Nageswaran Chief Economic Adviser V. Anantha Nageswaran has cautioned that US President Donald Trump\u2019s recent tariff hike could shave up to 0.6% off India\u2019s…<\/p>\n","protected":false},"author":1,"featured_media":11270,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-11269","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/11269","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/comments?post=11269"}],"version-history":[{"count":0,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/11269\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media\/11270"}],"wp:attachment":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media?parent=11269"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/categories?post=11269"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/tags?post=11269"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}