India faces a big challenge, if Trump imposes tariffs higher than Vietnam then it will incur huge losses

Trump Tariff: Both India and Vietnam send 161 types of similar products to the US. Their value is more than 5 million US dollars. However, India's exports are more than Vietnam's.

Trump Tariff: If there is no trade deal between India and America at a lower tariff rate, then India will lose US $ 5 billion in exports to Vietnam. This has been revealed in a report by Moneycontrol. In 2023, India sent goods worth about US $ 76 billion to the US, while Vietnam exported only US $ 5.4 billion. This makes it clear that there is no direct competition between the two countries. 

India and Vietnam business in America

Both India and Vietnam send 161 types of similar products to the US. Their value is more than 5 million US dollars. However, India's exports are more than Vietnam's. The business of these products sent to the US is worth 22 billion US dollars. Vietnam's share in this is 5.4 billion dollars, which means that Vietnam can actually challenge India only up to 5.4 billion US dollars in trade. 

 

 

Danger looming over prawns 

Both countries sell large quantities of goods to the US at almost the same price. In such a situation, the potential loss to India is $ 353 million. The biggest risk is looming over shrimp. In 2023, India sold shrimp worth about US $ 1.81 billion to the US. Whereas, Vietnam sold shrimp worth US $ 290 million.

 

Meanwhile, if the US gives Vietnam a better tariff rate than India, India's shrimp exports could drop sharply to just US$224 million. That means India could lose $1.6 billion in this category alone.

Many other products may also be affected, such as linen products used in kitchen and bathroom. The jewellery category may suffer losses of up to US$231 million. Vietnam and India provide similar services to the US in all these categories.