India is likely to meet its 6.3%-6.8% growth projection for 2025/26, despite the impact of new U.S. tariffs. The growth forecast remains intact, provided oil prices stay below $70 per barrel, according to a finance ministry official.

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• India aims for a 6.3%-6.8% growth in 2025/26, despite U.S. tariffs.
• The forecast assumes oil prices will remain below $70 per barrel.
• The global trade war, fueled by U.S. tariffs, impacts world markets, including Asia.
• U.S. tariffs could reduce India’s growth by 20-40 basis points, some economists warn.
• Sectors like India’s diamond industry, which heavily exports to the U.S., may face job losses.
• A second official believes U.S. tariffs won’t significantly affect India’s fiscal parameters.
• India has set up duty remission schemes in the budget to support exporters.
• The government is open to additional measures to help exporters hit by U.S. tariffs.
• India does not plan to retaliate against the U.S. 26% tariff on imports.
• Talks for a deal between India and the U.S. are progressing.