US Tariff Archives - Indiagnostic

The recent announcement of the US President imposing 27% tariffs on all goods imported from India, including medical equipment, has triggered strong reactions in the Indian medical technology industry. This step aimed at searching for mutuality in business and promoting domestic manufacturing, is seen as potentially disruptive for global trade norms by many. Industry leaders in India have expressed deep concern. Pawan Chaudhary, president of the Medical Technology Association of India (MTAI), said that the decision "does not reflect the informed policy" and warned that such protectionist measures can "prevent a sense of independent and fair trade" that benefits both nations. " AiMeD forum coordinator Rajiv Nath called Tariff a "important challenge" for the development of India's Medtech region. He emphasized the need for a more balanced tariff approach to ensure that India remains competitive globally. Himanshu Baid, managing director of polymedicure, said that while India can increase a slight price on Chinese imports (which faces only 7% tariffs), the actual benefit will be negligible if the price of Indian products is more than 15%. He insisted that a wider impact should be studied compared to other global contestants. Nath also said that this step will give us a sudden boost in capacity utilization and expansion, possibly helping them dominate their domestic market. India depends on imports for heavy medical equipment, with its 80–85% needs to meet through foreign suppliers, many of which are US-based. In FY 2023-24, India exported $ 714.38 million medical equipment to the US, while imports from the US were $ 1.52 billion. The White House factories defended the decision, saying that India implements burden and duplicate testing and certification requirements, making it difficult for American companies to work in the Indian market. It is estimated that removing such obstacles may increase US exports at least $ 5.3 billion annually. While areas such as pharmaceuticals and semiconductors are exempted from new tariffs, Medtech leaders are urging for bilateral talks rather than increasing trade obstacles. They are calling for a strategic, cooperative and non-preservationist approach. Meanwhile, Commerce and Industry Minister Piyush Goyal reiterated India's commitment to liberate trade agreements and reduce India's commitment to reduce both tariffs and non-tariffs as part of the country's developed trade strategy. Disclaimer: (The views expressed are solely of the research basis. Indiagnostic shall not be responsible for any damage caused to any person/organization directly or indirectly).

Tag: US Tariff

Indian Medical Device Industry Faces Pressure as US Imposes 27% Tariffs