Trump’s tariff plan, what will be the impact on India’s mobile market, negative or positive?

New Delhi: US President Donald Trump has taken a big step in the international trade policy and announced to impose new tariffs (discounted reciprocal tariffs) on goods imported from many countries. This announcement has created a stir all over the world.

It has been announced how much tariff will be imposed on goods reaching America from other countries including India and China. This new tariff has come into effect with immediate effect. Tariffs ranging from 30 percent to 45 percent have also been imposed on many Asian countries.

What effects can the US tariff have?
Here today we are going to tell you what effects the US tariff rules can have on the Indian mobile market, especially disruptions in the supply chain, changes in cost can be seen.

Increase in the price of imported components
Many Indian mobile manufacturers use components like semiconductors, batteries and display panels imported from China. US tariffs can lead to an increase in China’s manufacturing costs. This will also have a direct impact on the price of components manufactured in India.

The global supply chain can change
Due to Chinese items being expensive, many companies can look for new and cheaper options. Countries like India, Vietnam and Taiwan can benefit from this.

‘Make in India’ will benefit
The Make in India initiative can get a boost due to the new tariff rules imposed by the US. This can attract new investors, due to which companies will give priority to using components manufactured under Make in India.

Price can be affected
If any company gets expensive components due to tariffs, then it can have a direct impact on customers as well. Prices can increase here. Many electronics items including mobiles can become expensive here.

Will Indian companies benefit?
If the phones of Chinese companies become expensive due to American tariffs, then Indian companies like Lava can benefit from this. Indian companies can get help in controlling prices.

Indian brands will face problems in exports
Indian mobile companies may face problems when they export something to America. American policies can give priority to domestic production or impose tariffs on Indian products.