India’s Economy “Resilient,” FM Says Amid U.S. Tariff Pressure
Union Finance Minister Nirmala Sitharaman on October 3, 2025, said that despite the 50 % U.S. tariffs on Indian goods, the Indian economy remains strong enough to absorb external shocks. She was speaking at the Kautilya Economic Conclave in New Delhi.
Domestic Anchors Against Global Risks
Sitharaman stressed that India’s strength lies in domestic consumption and investment, which act as shields against global uncertainties. She added that the economy is “anchored in domestic factors,” making it less dependent on volatile external demand.
Growth Target at 8 %
The finance minister reaffirmed the government’s aim to achieve 8 % GDP growth in the coming years. Economists, however, caution that high tariffs could affect key export sectors like textiles, chemicals, and leather, posing challenges to this goal.
Policy Path Ahead
Sitharaman underlined that the government would continue focusing on capital expenditure for infrastructure and encourage private-sector investment. She cautioned against complacency, urging consistent reforms to sustain growth despite global headwinds.
