Mumbai - A report by Goldman Sachs has highlighted the potential impact of US tariffs on India’s gross domestic product (GDP). The report suggests that India’s GDP could be affected by 0.1 to 0.6 percentage points if the US administration, under President Donald Trump, decides to increase tariffs on all US imports to match the average tariff differential between India and the US.

“India’s domestic activity exposure to US final demand would be roughly twice as high (4.0 per cent of GDP) given exposure to the US via exports to other countries . . .