India has highest tariffs on inputs in electronic segment among competing economies like Vietnam: ICEA study

India has the highest tariffs on inputs in electronic segment among competing economies such as Vietnam and Thailand, ICEA said on July 6 citing its latest study as the industry body made a strong pitch for reduction in tariffs.

India has the highest tariffs on inputs in electronic segment among competing economies such as Vietnam and Thailand, ICEA said on July 6 citing its latest study as the industry body made a strong pitch for reduction in tariffs.

The high tariffs impact competitiveness, ICEA said, adding that the industry is seeking reduction of tariffs, and glide path to match Vietnam and other competing nations.

Also Read | Electronics industry urges cut in import tariffs

The study revealed that high tariff-induced costs accentuates India's cost disability vis-à-vis the four competing economies.

India Cellular and Electronics Association (ICEA) said the study is critical to evaluate India's competitiveness to reach the $300-billion electronics production goal by 2025-26, including $120 billion of exports.

A line-by-line comparison of India's non-zero tariffs shows that India's tariffs are higher for up to 98% lines compared to Vietnam (for FTA tariffs) and 90% of the lines compared to Thailand.

The competing economies have nearly double or more zero-tariff lines than India, according to the study released by ICEA at a conference.