The Australia India Business Council (AIBC) has welcomed the opportunity to deepen Australia–India trade relations in response to newly announced U.S. tariffs on Indian imports.
AIBC National Chair, Mr Deepak-Raj Gupta OAM, expressed confidence in the Australia–India Economic Cooperation and Trade Agreement (ECTA), stating:
“We do not anticipate any major impact on ECTA from the proposed global tariff changes. On the contrary, this is an opportunity to advance towards a Comprehensive Economic Cooperation Agreement (CECA), which continues to enjoy bipartisan support.”
On 3 April, the United States announced a 26% tariff on all Indian imports. While this presents short-term challenges for Indian exporters, the AIBC views it as a chance to accelerate CECA negotiations and expand bilateral trade.
“This is not a setback, but a catalyst,” said Mr Gupta. “With India seeking new markets and Australia pursuing trade diversification, this is an ideal moment to reinforce our economic ties.”
India’s pivot from U.S. markets aligns with Australia’s import and export capabilities, especially in sectors such as agriculture, seafood, processed foods, and textiles. Australian consumers could benefit from greater access to Indian goods, while Indian exporters gain stable, low-tariff access under ECTA.
AIBC also highlighted that reduced Indian imports from the U.S. open the door for Australian industries – from agribusiness and resources to pharmaceuticals and technology – to help meet India’s growing demand.
“India and Australia’s economic alignment continues to strengthen,” Mr Gupta added. “We encourage both governments to fast-track CECA and explore joint investments in key sectors like agritech, clean energy, critical minerals, and advanced manufacturing.”
As global trade dynamics evolve, the AIBC remains committed to fostering strong, mutually beneficial trade and investment ties between the two nations.
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