As India doubles down on local manufacturing, the country’s import tariffs in the electronics sector are still way higher than China, Vietnam and other economies, which is negating the performance-linked incentive (PLI) scheme and adversely impacting competitiveness and scale, a new study showed on Thursday.
India’s higher tariffs are even more evident for the priority products identified by the electronics industry.
For finished products, India’s tariffs are slightly lower for only one tariff line of China.
However, for inputs (components and sub-assemblies), there is no tariff line for which India’s import duty is lower than the competing economies, showing the relatively higher costs of production in India compared to the four economies (China, Vietnam, Thailand and Mexico), according to study by the India…
