K. R. M. Public School, Chennai
is research examines the impact of the reciprocal tariffs introduced by the protectionist administration between 2020 and 2024 on the economies of India, China, and Canada. These tariffs were part of a broader shift in U.S. trade policy aimed at reducing trade deficits and encouraging fairer trade practices. However, the retaliatory nature of these measures led to trade tensions with several key U.S. partners. By focusing on India, China, and Canada—countries with different economic structures and levels of trade dependence on the U.S.—this study highlights how each nation was affected in unique ways. China, as the largest target of the tariffs, experienced a significant decline in exports to the U.S, disruptions in its manufacturing and technology sectors, and broader economic slowdowns, particularly in global supply chains. Canada, though a close economically of the U.S., faced tariffs on steel and aluminum, which negatively impacted its industrial output and led to retaliatory tariffs on American goods. This briefly strained U.S.-Canada trade relations and pushed Canada to strengthen trade ties with other global partners. In India’s case, although the economic impact was smaller, the country responded with its own tariffs on U.S. products and saw shifts in its trade policy stance, aiming to reduce dependence on any single trading partner. The research uses a mix of economic data—including GDP growth, trade volumes, and sector-level performance—alongside policy analysis to understand how each country adapted to the changing trade environment. The findings show that while the tariffs were meant to protect U.S. industries, they caused unintended economic disruptions and forced other countries to rethink their trade strategies. The study concludes that unilateral tariff measures, especially when used against major trading partners, can have far-reaching global consequences. It emphasizes the need for more cooperative and balanced trade policies to ensure economic stability and long-term growth for all involved nations.
1.1 Background and Motivation
In recent years, the global economy has been greatly shaped by tariffs and trade barriers, especially during former U.S. President Donald Trump’s administration. The tariffs imposed during this time led to various trade disputes that impacted not just the United States but also important trading partners like India, China, and Canada. This study aims to understand the wider effects of these tariffs on the economies of these countries. As nations deal with the fallout of protectionist policies, it is crucial to examine how these measures influence economic indicators such as GDP, trade balance, and employment.
1.2 Research Objectives and Hypothesis
The main goal of this research is to assess the economic impact of the tariffs imposed by the Protectionist administration on India, China, and Canada. This study will examine how these tariffs have affected GDP growth, trade balances, and employment rates in the countries involved. The main hypothesis suggests that the implementation of these tariffs has resulted in a noticeable drop in key economic performance indicators in these nations, with varying levels of impact depending on their specific economic structures and trade relationships.
1.3 Significance and Contribution Of The Study
This study is important in today's trade landscape. It aims to address the gap in existing research about how reciprocal tariffs affect both emerging and developed economies. By analyzing the economic effects of these tariffs, the research helps us better understand the implications of trade policies. It also provides useful insights for policymakers. Additionally, the findings may guide future trade negotiations and strategies, emphasizing the need to consider the economic effects of imposing tariffs.
1.4 Paper Structure and Overview
The paper is organized to provide a detailed look at the topic. It starts with a literature review that sets the stage by discussing the history and theories related to tariff policies and trade wars. Next, it will develop the theoretical framework and hypothesis, clearly stating the expected connections between tariffs and major economic indicators. The methodology section will explain the data sources, statistical methods, and analytical techniques used in the study. Following that, the paper will examine the specific effects of tariffs on India, China, and Canada. This will lead to a comparison across the countries. The results will be presented and discussed in the context of global trade relations. Finally, the paper will summarize key findings and their implications for future research.
11.1 Academic Journals and Scholarly Articles
11.2 Reports And Analysis From International Organizations
• World Trade Organization (WTO)
• Think Tanks and Research Institutes
Government Publications and Official Data
United States Government Data
Indian Government Data & Policy Documents
Chinese Government Data & Policy Documents
Canadian Government Data
S. Swetha*, Sahayaraj Antony Michael, A Comparative Analysis of The Economic Effects of U.S. Reciprocal Tariffs on India, China, and Canada, Int. J. Sci. R. Tech., 2025, 2 (11), 173-188. https://doi.org/10.5281/zenodo.17557551
10.5281/zenodo.17557551