The greatest jeweler and watchmaker of India is exploring by moving a little production to the Gulf of the Middle East to maintain access to the low tariffs to the US markets between the commercial tensions between Washington and Nuova Delhi, the CEO of Venkataraman said Tuesday.
Titan, part of the conglomerate of the Tata group, announced this month in the program to acquire a majority participation in the luxury dealer based in Dubai Damas, who manages 146 stores throughout the Gulf. In light of the agreement, assessed at $ 283 million, Venkataraman told Reuters that the region was considered “as a manufacturing base to export to the United States”
His comments reflect how global companies can look for new routes to navigate in commercial barriers, since US withdrawals or threaten rates on international commercial partners.Last month, the president of the United States Donald Trump slapped a surprise rate of 25% on imports from India and threatened further increases this week for purchases of Russian oil India.
On the contrary, the United Arab Emirates face a 10% rate under Trump’s basic rate.
Titan’s Tanishq brand has several US stores and is planning a great expansion, while its label focused on the Caratlane diamond was launched in the United States in October, said the company.
Titan began the talks to buy Damas in 2024, before the shifts of American commercial policy were focused on fire. Moving a little production in a country of the Gulf Cooperation Council would be a way to mitigate recent increases in US rates, Venkataraman said in a video call with Reuters.
The United States are a less feasible manufacturing base due to the constraints of costs and skills, in particular for craft manufacture jewels, he said.
“If the rates remain like what they are currently threatened to be, then any refereeing on a rate … any significant arbitrage would be significant for us,” said Venkataraman.
