
India’s position within the global tariff landscape has shifted significantly following the latest structure of US import duties. According to the current tariff levels across major emerging markets, India now faces an 18% tariff on goods entering the United States.
This places the country at the most favourable end of the tariff spectrum compared to its global peers. The development marks a meaningful change in how Indian exports compete within the US market, especially after nearly six months of elevated tariff pressures.
The updated US tariff framework shows a varied duty structure across prominent emerging markets. South Africa continues to face a 30% tariff, while a cluster of Asian economies, including Thailand, the Philippines, Malaysia and Indonesia, stand at 19%.
Mexico and South Korea each face 25% tariffs on goods exported to the United States, indicating mid‑range duty levels among emerging economies. Brazil and China remain positioned at the higher end of the tariff spectrum at 50% and 47.5%, respectively.
| Emerging Market | US Tariffs |
| South Africa | 30% |
| Thailand | 19% |
| Philippines | 19% |
| Malaysia | 19% |
| Mexico | 25% |
| China | 47.5% |
| South Korea | 25% |
| Brazil | 50% |
| Indonesia | 19% |
| India | 18% |
India’s tariff level of 18% places it below all other major emerging markets referenced in the comparative structure. This shift provides Indian exporters with a competitive edge relative to peers facing higher duties.
A lower tariff can contribute to reduced cost barriers for Indian goods, potentially enhancing their attractiveness within the US market. The structure also signals a repositioning of India’s trade profile compared to other emerging economies.
A lower tariff rate may support India’s export competitiveness across a range of sectors. Tariffs directly influence pricing in global markets, and Indian firms may benefit from improved cost efficiency relative to competitors from countries facing steeper duties.
With India placed at the lowest tariff level among emerging markets, the change could open avenues for additional trade volumes. Analysts will observe whether sectors with existing export strength experience a greater benefit from the revised tariff positioning.
Read More: India, US Agree on Trade Deal, Lowering Reciprocal Tariffs.
India’s emergence as the lowest‑tariff emerging market under the current US import‑duty structure marks a significant change in the global tariff landscape. With an 18% tariff, India stands ahead of other major economies that continue to face higher duty levels.
This development enhances India’s relative competitiveness in the US market and may support improved trade momentum in the months ahead. Stakeholders will monitor how this tariff positioning translates into export performance and whether additional policy shifts follow.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Feb 3, 2026, 12:46 PM IST

Akshay Shivalkar
Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates
