Moody’s ratings: Global rating agency Moody’s has said in a new report that India will get the benefit of China’s ‘China +1’ strategy. Moody’s said that India can benefit from the changes in the global supply chain. Many companies are shifting their manufacturing base in India and Indonesia, reducing their dependence on China. This will increase activities in Indian ports as companies set up their manufacturing unit in India, then import and export will also increase. This will make the ports of the country profits.
Pressure may increase on China’s pots
On the other hand, the financial condition of China’s ports may be weak. However, China still has so much resource that it can withstand this pressure. In recent times, this change has come between many geopolitical tensions. Moody’s said that the impact of the tariff imposed by the US on India is also relatively low because India’s export base remains strong in many other countries and the economy here is also emerging rapidly. Apart from this, India’s business exposure with the US is limited, so India has the power to withstand global pressures.
Moody’s also mentioned it in the report
However, despite all this, Moody’s has reduced the 2025 development forecast for India from the last 6.7 percent to 6.3 percent. However, Moody’s has estimated an increase of 6.5 percent for 2026. Moody’s report also mentioned the attack in Pahalgam in Kashmir, which can increase instability in the country.
Overall, Moody’s report revealed two things that the reorganization of the global supply chain would benefit the country’s manufacturing, logistics and its ports. The second thing is that along with regional instability as well as global business tensions, India needs to be careful.
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