Indicating a positive outlook for India's export, the UN Conference on Trade and Development (UNCTAD) in its latest report has said that India is among the several countries which may gain from United States and Chinese trade tensions. As per the report, US and China's tariffs will divert trade to other countries, with this India is likely to see rise of 3.5% in exports, while the European Union will be the biggest winner.
UNCTAD further said that out of the $250 billion in Chinese exports that are subject to US tariffs, only about 6% will be picked up by firms in the US and of the approximately $85 billion in US exports that are subject to China's tariffs, only about 5% of this will be taken up by Chinese firms.
Besides, the report said that the tit-for-tat trade dispute between China and the United States may do little to protect domestic producers in either country and could have massive implications on the global economy unless it is resolved. It further highlighted that unless the US and China agree to drop their tariff dispute by March 1, duty on each country's products will rise to 25%, up from the current 10% level.