With U.S. tariffs on Indian goods possibly settling at 50% after August 27, India faces an estimated $24 billion export loss. To offset the blow, Prime Minister Narendra Modi has announced a $50 billion domestic stimulus, more than twice the expected loss, to drive consumption and sustain growth.

BulletsIn

• Possible 50% U.S. tariffs on Indian exports after Aug 27
• Estimated $24 billion loss to Indian exports if tariffs stay
• Modi govt announces $50 billion domestic stimulus
• Aim: boost consumption, protect economy from trade shock
• Strategy: compensate export hit by stronger local demand
• Stimulus amount more than double potential export loss
• Growth pillars: consumption, investment, exports; focus now on first
• Trade talks with U.S. still unresolved, tariffs loom
• Move seen as safeguard against slowdown in global trade
• India betting on domestic market resilience to sustain growth