India’s cabinet greenlit a INR 69.7k crore (cr) (c.USD 7.8 bn) package to boost its shipbuilding and maritime sector, according to a statement. The four-pronged package aims to expand domestic capacity, streamline long-term financing, support greenfield and brownfield shipyard growth, as well as form a robust maritime infrastructure.

What’s in the cards? The development scheme looks to enhance domestic shipbuilding capacity to 4.5 mn tons or over 2.5k vessels annually. Under the bundle, three major funding schemes have been initiated: a INR 24.7k cr shipbuilding financial assistance scheme, INR 20k cr maritime development fund, and a INR 20k cr shipbuilding development scheme.

India wants to become one of the top-five shipbuilding nations by 2047, S&P Global reported. Currently, the country is responsible for less than 1% of the sector’s global market share.

REMEMBER- Three major players dominate the global shipbuilding sector — with China holding around a 58% share of the USD 150 bn global shipbuilding market, followed by South Korea at 24%, and Japan at 9%, S&P adds. China saw its share of the global shipbuilding market shoot up from between 7-10% in 2005 to snatch up over half of the global market. The nation did this by investing substantial funding into its shipbuilding industry — through subsidies and financial incentives.

US tariffs on pharma incoming next month: The US President Donald Trump announced that the US will impose a 100% tariff on branded and patented pharma products as of October, Financial Times reported last week. The announcement makes official earlier threats, though the expectation was that the tariffs would be phased in with a lower rate this year and increasing later. Pharma firms with US-based manufacturing plants are, however, exempt from the tariffs.

Trump also plans to slap a 25% tariff on imported heavy trucks, a 50% tariff on kitchen cabinets and bathroom vanities, and a 30% tariff on upholstered furniture at the beginning of next month. This follows a government probe into trucks weighing more than 10k pounds, as well as parts and derivatives.

ON A RELATED NOTE- Washington made good on its promise to bring down its tariffs on EU-sourced automobiles and auto parts to 15%, effective retroactively from 1 August, Reuters reported on Thursday, citing a Federal Register note (pdf). This confirms the trade agreement reached last July, cementing the 15% figure to wary European automakers — and officially bringing the auto levy down from the 25% announced in April.

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