With the US announcing 26 per cent additional import duties on Indian goods from April 9, domestic exporters on Friday said they have started talks with their American buyers on ways to absorb these heavy taxes.

According to them, communications between the Indian suppliers and American buyers have already started moving as these duties would hurt exports and job creation. "We have to talk to them about how to handle this unprecedented situation," FIEO President SC Ralhan said.

The Ludhiana-based hand tool (an engineering sector item) exporter also said that the sector will not be able to absorb the high duties because of the high steel cost in the domestic market.

Higher US tariffs on rival mfg hubs can open up opportunities for India: MAIT

The 26% tariffs imposed by the US on India may create some headwinds, but relatively higher levies on competing nations may hand India an edge, tilting the scales in its favour and increasing its appeal in global supply chains, according to electronics and IT hardware industry body MAIT. Manufacturing hubs such as China face a 54 per cent levy, Vietnam (46%), and Thailand (36%) as a result of the US' sweeping tariff actions, which have since spooked financial markets and trade partners.

US revises tariff on India downwards from 27% to 26%

The United States has revised downwards the import duties to be imposed on India from 27% to 26%, according to a White House document. These duties will come into force from April 9.

US tariffs to have small indirect impact on India: NITI member Virmani

The US reciprocal tariffs will have a small indirect effect on India given the domestic economy's low dependence on foreign trade, NITI Aayog member Arvind Virmani said on Friday. He further said that in the medium term, the negative factors emanating from the imposition of tariff would be minimised with the implementation of the first phase of the proposed USA-India Bilateral Trade Agreement.