India Must Seize “Wake-Up Call” Amid 50% US Tariffs, Says Amitabh Kant
Indian policy strategist and former NITI Aayog CEO Amitabh Kant has described the U.S. government’s decision to impose a 50% tariff on Indian goods as “a wake-up call” for India—an opportunity to pursue transformative reforms and diversify its trade portfolio www.ndtv.com.
Why the Tariffs Hit Hard
President Donald Trump’s move doubles existing tariffs to 50%, targeting Indian exports in sectors like garments, leather, and gems, citing India’s continued imports of Russian oil ReutersAP NewsThe GuardianFinancial Times. The decision has rattled Indian exporters and put around 55% of India’s $87 billion U.S.-bound trade at risk Reuters+1.
Amitabh Kant: Turn Crisis into Reform
Responding to this surge, Amitabh Kant urged India not to be intimidated but to view the tariffs as a catalyst for bold, once-in-a-generation reforms. He argued that India must remain steadfast in defending its energy security and strategic autonomy www.ndtv.comThe Tribune.
He wrote, “Trump’s tariffs must be a wake-up call for India.” Kant highlighted the irony of the decision, stating that while the U.S. engages diplomatically with buyers like China, India was singled out www.ndtv.comBusiness Today. He warned that compromising on energy policy or autonomy would be a mistake, noting that these tariffs are not truly about Russian oil but rather geopolitics www.ndtv.comThe Tribune.
Recommended Reforms: From GST to Global Value Chains
Kant called for sweeping reforms to turn the tariff wall into an economic opportunity:
- Simplify GST structure and streamline tax approvals
- Reduce input tariffs and rationalize regulatory systems
- Promote Make in India
- Pursue joint manufacturing ventures with China to foster competitive domestic production Business TodayIndian Startup News.
He likened the moment to India’s “Agneepath moment”, encouraging the nation to punch through the tariff barrier and emerge stronger The Economic TimesThe Times of India.
India’s Strategic Response
While grappling with the fallout, the Indian government is supporting exporters through financial aid and pushing for diversification into markets like Africa, Latin America, and Southeast Asia.
Trade Minister Piyush Goyal described India’s approach as engaged but cautious, emphasizing that ties with the U.S. remain vital despite tensions.
Conclusion
Amitabh Kant’s statement—“Trump tariffs must be a wake-up call for India”—is both a critique of the unilateral U.S. action and a roadmap for renewed resilience. Rather than back down, India can seize this moment for structural reform, economic strength, and greater self-reliance