In choosing the title with obscure names I do not intend to flaunt my knowledge of English idioms; I am playing safe. The more familiar idiom ‘between the devil and the deep sea’ would have immediately raised the question ‘which is the devil and which is the deep sea’? In the present tariff war that started on April 2, 2025, India faces challenges from two countries: United States and China. One is the obscure Scylla and the other the obscure Charybdis. Both, in the current context, are unpleasant alternatives.

One Side Of Problem…

India’s merchandise trade with the United States and China in 2024-25 was

India, therefore, faces two diametrically opposite challenges when dealing with the two largest economies of the world.

With the United States, we have a surplus in the trade account. Our major exports to the U.S. are gems and jewellery, pharmaceuticals, engineering goods, electronic goods and some agricultural products. Except quality pharmaceuticals at competitive prices, other items are goods that the U.S. can do without or import from other countries. But each item of export is the source of livelihood for thousands of men and women in India. The surplus in the trade account is threatened by Mr Trump’s intention to impose tariffs. While there is a ‘pause’, and pharmaceuticals are temporarily exempt, the tariff sword hangs over India’s head. If tariffs........

© The Financial Express