Trade deal with US adds momentum to India's growth ambition: Industry leaders

New Delhi, Feb 3 (PTI) The India-US trade deal adds meaningful momentum to India's growth ambitions and supports the country's ambition to be a globally competitive manufacturing and innovation hub, industry leaders said on Tuesday.

Reacting to the trade agreement between the two countries, Mahindra Group CEO & Managing Director Anish Shah welcomed the development, terming it as "a significant step forward in strengthening bilateral trade and investment ties." "With the Indian economy on a strong growth trajectory, this deal adds meaningful momentum to India's growth ambitions," he noted.

Shah further said, "The immediate reduction in reciprocal tariffs on Indian exports to 18 per cent, along with the commitment to progressively lower tariff and non-tariff barriers, will boost growth momentum and improve the predictability businesses need to invest with confidence." Expressing similar views, Aditya Birla Group Chairman Kumar Mangalam Birla said the reduced tariffs will help strengthen the strategic and economic ties between the two great countries and provide additional opportunities for investment and collaboration.

Stating that the Aditya Birla Group is the largest Indian investor in the US, he said, "We see this agreement help shape more resilient supply chains, unlock manufacturing opportunities and drive long-term economic competitiveness in both the US and India." Birla said the group is committed to expanding its presence and investments in the US, "where we see substantial opportunities for innovation, growth and enduring partnerships." TVS Motor Company Chairman Sudarshan Venu also said the reduction in the US reciprocal tariff on Indian goods to 18 per cent is a positive step that improves export competitiveness and reinforces confidence in long-term bilateral economic ties, furthering Prime Minister Narendra Modi's vision of Viksit Bharat 2047.

"In a challenging global environment, predictability and openness in trade help the Indian industry scale, innovate and create jobs. We look forward to a stronger India-US partnership that accelerates growth, expands market access, and supports India's ambition to be a globally competitive manufacturing and innovation hub," he added.

Reacting to the tariff reductions, Mahindra Group Chairman Anand Mahindra, in a crisp post on X, wrote, "More evidence of the benefits of 'Making haste slowly.' When the noise subsides, two natural partners will come together" Similarly, RPG Enterprises Chairman Harsh Goenka in a post on X said, "First the Mother of all deals with EU, now the Father of all deals with US - great achievement by PM Modi government! Patience pays.#TradeDeal." SpiceJet Chairman and Managing Director, Ajay Singh, said, "Coming on the back of recent trade agreements with the EU and the UK, this deal reinforces India's growing confidence and credibility on the global stage and lays the foundation for sustained growth and stronger international partnerships." The finalisation of the India-US trade deal is a watershed moment for our nation and a major boost for the ‘Made in India' brand, he added. PTI RKL IAS DRR