Indian Government released that India will increase import tariffs on many electronic products and communication equipments and another decision was to rein in imports and bolster a falling rupee. The tariff hike is again the second move by Indian government in a two week span, was announced late on Thursday by New Delhi as it attempts to raise import barriers to curtail the import of goods it deems as “non-essential” items.
The latest set of increased tariffs could increase trade tensions with the United States, China, among other countries and hurt the likes of network equipment makers such as Cisco Systems Inc, Huawei Technologies Co, ZTE Corp , Ericsson, Nokia and Samsung Electronics.
The is part of a plan to contain a decrease in the rupee , which was weak more than 14 per cent against the US dollar this year, hit by an rout in emerging markets and other domestic factors such as a widening current account deficit.