US tariffs transitionary phase, not unduly worried: ACMA

New Delhi, September 12 (PTI) Indian automobile components industry is unnecessarily concerned about the effects of US tariffs on products from India, but in the short term, it has an impact on customers ‘some stop’ due to uncertainty.

Considering the current tariff status with the US, they said that India-EU FTA became even more important and that India needs to deepen its participation with Europe.

In the last financial year, India’s automobile components were 6.6 billion US dollars, which are $ 3.5 billion for cars and small trucks, and now 25 percent tariff. Apart from components for commercial vehicles, off-road vehicles, tractors and construction equipment, 50 percent tariff, the automotive component manufacturers Association (ACMA) General Vinnie Mehta said to journalists.

ACMA President, Vikrampathi Singhania, “the United States (exports) to the US $ 22 billion from USD $ 6.6 billion, that is to say that there is a major alternative market for industry. Industry, risk reduction markets, customers, etc..

Singhania, who is also the General Manager JK Fenner (India) LTD, focused on increasing the cost of competitiveness of domestic companies, stressing the need to look at India’s current US tariff “according to every other country’s tariff”.

“We should not see 25 percent as 25 percent. We should see that 25 percent or 19 percent of other countries are in tariffs. A real point of thinking is a differential. We don’t think as in 2.5 percent, and now we’re 25 percent, (because), (because), most of the other countries we face in the global landscape,” he admitted.

Singhania is working and looking at alternative markets as a part of Indian companies as a strategy and agenda.

ACMA President Shradha Suri Marwah also repeated that “currently affected by 50 percent” is $ 3.5 billion.

When asked whether the customers in the United States make purchases from Indian component producers, “There are some stops. Let’s say … Are they moved to alternative markets? It is not so easy, because they are long -term developments. There are technology, investments.”

Mehta, “In the first quarter – April, May June, export and import figures, what we do in the previous financial year matches exactly with US $ 1.77 billion … There was absolutely no effect.”

Stating that the negotiations continue commercially, Marwah said, “I think everyone is waiting and watching, because nobody really knows what will happen tomorrow. We are standing here right now.”

However, Singhania, “This is a transition phase and I think both our country has a great relationship … This is not the end of this. We two of us will lead ourselves to the beginning of many speeches that will lead to where we desire.”

“The European Union is as big as the United States for us.

Trade with the EU exports a very balanced, India EU $ 6.7 billion of automobile components and imports about $ 5.7 billion automatic components.

“Therefore, it makes sense to reduce trade barriers. The European Union is also a large treasury house of many technologies. We want technology investments from Europe to the country.”