Chief Economic Advisor V. Anantha Nageswaran said that if the tariffs on India stayed on, there would be a drop in exports to the U.S. File
| Photo Credit: ANI
Chief Economic Adviser (CEA) V. Anantha Nageswaran on Thursday (September 18, 2025) said he expects that a solution to India’s tariff issues with the U.S. is likely to arrive in the next eight to 10 weeks.The additional 25% tariff imposed by the U.S. on Indian products for the country's purchases of Russian oil came into effect in August, bringing the total amount of levy imposed on New Delhi to 50%.Speaking at an interactive session organised by Bharat Chamber of Commerce in Kolkata, Mr. Nageswaran said, "Underneath the surface, conversations are going on between the two governments. My hunch is that in the next eight to ten weeks, we will likely see a solution to the tariffs imposed by the U.S. on Indian goods."He said that if the tariffs stayed on, there would be a drop in exports to the U.S.Terming India as an aspirational lower-middle-income economy, Mr. Nageswaran said real Gross Domestic Product (GDP) growth in the first quarter of the current financial year was 7.8%.Post the Covid-19 pandemic, the Indian economy grew faster than many countries, he said.On India’s economic growthThe growth in manufacturing, services and agriculture will contribute to economic progress in a great way in the next two years, Mr. Nageswaran said, adding that consumption and investments will continue to anchor growth for the country.According to him, the debt-to-GDP ratio in India is good. With per USD of debt, the country generated more GDP than other countries, which shows efficient utilisation of capital in the economy.He also said that rural demand remains resilient in the economy, and urban demand is gaining traction.The recent relief in GST rates will give more disposable income in the hands of consumers, and urban consumption is likely to go up, the CEA said.
