40% US trans-shipment tariff to create major compliance issues for Indian companies: Moody's

A new 40 percent US tariff on trans-shipped goods poses significant compliance challenges for Indian and ASEAN businesses. Sectors like machinery, electrical equipment, and semiconductors face high risks. The US administration's definition of trans-shipment remains unclear, creating uncertainty for regional economies. This measure could impact the Asia-Pacific supply chain, requiring exporters to prove substantial transformation of goods to avoid penalties.