PTI New Delhi

Indian exports to the US will become more competitive following imposition of higher tariffs by the Trump administration on countries, including China, Canada, and Mexico, NITI Aayog said in a report on Monday. The Aayog in its third edition of 'Trade Watch Quarterly' said there will be significant opportunities for India in the US markets both in terms of the number of products and volume of the US market.

"India is expected to gain competitiveness in 22 out of the top 30 categories, representing a market size of USD 2,285.2 billion," the Aayog said. It further explained that China, Canada, and Mexico are the leading exporters to the US in these categories, therefore higher tariffs on these countries at 30%, 35%, and 25%, respectively, will enhance India's competitiveness.

The thematic focus of this quarter's edition is the evolving US trade and tariff structures and their implications for India's export competitiveness. "India's relative tariff advantage vis-a-vis major competitors presents a strategic window to expand market share in the US market, especially in sectors such as pharmaceuticals, textiles, and electrical machinery, among others," the Aayog said.