China-as trade war: Chinese companies are offering a discount of up to 5% to Indian buyers to increase their sales in India between the ongoing tariff war between US and China. The move has hoped that the prices of electronic goods in India may decrease in the coming days. This offering from Chinese companies on electronics items is being offered between the ongoing trade war between the US-China. The global trade on China on behalf of US President Donald Trump has been greatly affected. Tariff has made it more expensive for Chinese companies to sell products in the US.
After American action, Chinese companies are looking for alternative markets. India has emerged as a major market for their goods. Chinese companies now want to expand their presence in India by exempting Indian buyers in an attempt to compensate the lost sales in the US and other Western markets. The plan behind these discounts is to increase the demand for electronics products in India.
How much will the effects be on the prices of electronic goods?
The most immediate impact of these discounts is likely to fall on the prices of electronics items in India. According to experts, the cost of many products including smartphones, TV and other domestic electronics goods may be reduced. This can give Indian consumers more economical and accessible by making these products more economical and accessible. However, it is important to note that these discounts do not guarantee a continuous reduction in prices. These will affect the currency fluctuations, import duty and domestic market conditions.
Pay attention to quality with discounts
The greatest concern with Chinese companies exempted items is the quality of these products. Low prices attract customers. But it is feared that consumers may get inferior goods. The race to sell at exempted prices may potentially reduce quality.
Trade walk between China-America
The trade war between the US and China started after President Trump imposed a recipe crocal tariff on 2 April. In response to Trump, China imposed 34 percent tariffs on American imported goods. After this, the US soon retaliated and increased the duty on sugar imports to 104 percent. Then China increased its tariff on American goods to 84%. On 9 April, Trump increased the tariff on Chinese imported goods to 125 percent. Still, the war-family is not taking the name of stopping.
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