India May Be Subject To Lower US Tariffs Compared To APAC Nations: Moody’s

New Delhi: Global rating agency Moody’s ratings on Thursday, India may be subject to lower tariffs than many countries in Asia Pacific, which can help the economy to invest more investment and become a global production base. Although many Asia Pacific economy based on export were hit with very high US tariffs in April, India is expected to be in a good position with low tariffs with tariffs in the coming days.

In his view of the Asia Pacific sovereigns, Moody’s ratings, while negotiations lead to some decrease in two -sided tariffs and other trade barriers, he said that the uncertainty of policy is deficit of investment decisions and the deterioration of trade. “The uncertainty about the trade policy and the potential revision of global trade has increased cyclic and possibly structural credit risks in APAC, and economies such as Vietnam and Cambodia benefit from the variety of investment and production from China, and now it is at risk, especially at risk.”

“In contrast, India has the potential to emerge as a tariff -driven change in investment and trade streams. India can be exposed to lower tariffs than many in Apac, which can help the economy to attract and support the development of more investment.

Moody’s also said that the potential changes in the investment and trade streams caused by tariffs will take years and that multinational companies are unlikely to make harsh investment changes while there is a significant uncertainty about the size of the tariffs and whether they will continue. Moody, instead, will slow down or pause the ongoing investments while waiting for a stable trade policies of companies to emerge.