Indian freight brokers have to sell their goods to American citizens and foreign companies, a key feature of the global market for US-produced goods, as the Indian government imposes stricter rules to control their activities.
The government has been pushing for stricter export controls in the wake of US President Donald Trump’s controversial order to ban immigration from seven Muslim-majority countries.
The US-based US-focused US Chamber of Commerce (USCC) has warned that the move could make it harder for American firms to compete in the global economy.
The group’s president, Matt Schlapp, said in a statement that US citizens would have to buy goods from overseas in order to buy from Indian companies and that it would have a “tremendous impact” on the export business.
The move by the Indian authorities has caused a huge stir on social media, with people posting messages of protest on social networks and other online platforms.
“It’s about the duty of US citizens to pay taxes.
There is no duty to buy Indian goods,” wrote one Twitter user.
The Indian government has taken a tough stance on the US economy, but it has also made moves to woo the world’s second-largest economy in recent years, with a focus on manufacturing and technology.
Its efforts to attract foreign investment have included establishing the world-first US-funded research and development center, known as the India Accelerator, and setting up an office for the National Center for Manufacturing Innovation in New Delhi.
India is currently the largest recipient of foreign direct investment from the US, according to the US government, which is one of the most important sources of foreign investment in India.