Anand Mahindra Outlines How US 50% Duty Can Work In India’s Favour

After the President of the United States, Donald Trump, announced an additional 25 per cent duty on Indian products exported to America, people from different realms have reflected on the pros and cons of the 50 per cent tariff.

Reflecting on how the huge duty can help India reshape its selling power, Chairperson of Mahindra and Mahindra, Anand Mahindra, said that India can seize this opportunity ‘to shape virtuous consequence’.  

With examples of the EU and Canada building resilience against an evolving tariff regime, Mahindra explained how India too can yield ‘Amrit’ from ‘Manthon’ over tariff. 

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He said the “law of unintended consequences” seems to be operating stealthily in the ongoing tariff war unleashed by the US, but these have the potential to become long-term positives for global growth. “Shouldn’t India too seize this moment to shape a virtuous consequence for itself?” he said. 

Mahindra’s remark came immediately after the US announced additional 25 per cent tariffs against India on Wednesday as punitive measures for continuing to buy oil from Russia. The total import charges on Indian goods in America reached 50 per cent. 

In a post on X on Wednesday, Mr Mahindra asked if today’s “global ‘Manthan’ over tariffs (can) yield some ‘Amrit’ for us”, just as the 1991 forex reserves crisis triggered liberalisation.

Mahindra suggested two strong steps that India can take currently to turn the move into positive development. “India must go beyond incremental reform and create a genuinely effective single-window clearance system for all investment proposals. While states control many investment regulations, we can begin with a coalition of willing states aligning with a national single-window platform. If we demonstrate speed, simplicity, and predictability, we can make India an irresistible destination for global capital in a world seeking trusted partners,” he said. 

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The industrialist further suggested that tourism could prove a boon for India to attract foreign reserves. “We need to dramatically accelerate visa processing, improve tourist facilitation, and build dedicated tourism corridors around existing hotspots, offering assured security, sanitation, and hygiene. These corridors can serve as models of excellence, encouraging other regions to emulate and raise national standards,” he added. 

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