The Indian toy industry is ready to take advantage of the high tariffs imposed by the US on competitors such as China and Vietnam, and the domestic players have already begun work on expanding capacity and forming joint ventures with global firms, exporters said on Sunday.

They added that India has emerged as a winner in the recent US tariff hikes, as the exporters are better positioned to absorb the impact compared to competitor countries that are facing higher import duties in America.

While the US has imposed an additional 26% import duty on India, its competitor Vietnam is facing 46% tariff, Bangladesh 37%, China 54 per cent, Indonesia 32%, and Thailand 36%.

"Huge opportunities are there for our exporters now. Vietnam's exports are about USD 6 billion and China's are USD 80 billion. Now their items will face higher duties in the US than that of Indian toys. All big toy firms are exploring opportunities to set up plants in India," the CEO of Playgro Toys India, Manu Gupta, said.

India's toy exports are hovering in the range of USD 326 million to USD 348 million for the last three years, according to the industry.

He said that early conclusion of a bilateral trade agreement with the US will also help Indian toy players to increase shipments.