Semiconductors have been excluded from the US President Donald Trump’s latest round of reciprocal tariffs. Industry body India Electronics and Semiconductor Association (IESA) has described this move as recognition of semiconductors’ critical role in global supply chains, according to a report by PTI.
The White House, in its fact sheet on new tariffs mentioned, “Some goods will not be subject to the reciprocal tariff. These include copper, pharmaceuticals, semiconductors, and lumber articles; all articles that may become subject to future tariffs.”
According to media reports, the Global Trade Research Initiative (GTRI) considers Trump’s protectionist tariff regime as a catalyst for India to gain from global supply chain realignments. “The semiconductor space, while still dominated by technologically advanced players like Taiwan, also offers potential for India to capture parts of the value chain such as packaging, testing, and lower-end chip manufacturing,” said GTRI Founder Ajay Srivastava in a statement.
The industry analysts say with higher US tariffs on countries like Vietnam, some supply chains may shift toward India, boosting the country’s exports in the space of electronics and electricals. Read more
Source: Business Standard