AIR 11 · CSE 2025 · GS2 · 26 pages

Yashaswi Raj Vardhan: GS2 answer copy

7 answers by Yashaswi Raj Vardhan, as written in the test. Each question opens a page with how other toppers answered it.

The questions

  1. Q1Q1.
  2. Q1010.

The answers

Question 1 · 214 words written

Q1.

Opening

The Reciprocal Tariff plan of USA is a Tit-for-Tat game, which has escalated a new series of trade wars, a shift from liberal free trade position. India was called "Tariff king" and faces a ~26% tariff.

Body · points

Economic challenges for India

  1. Possible slowdown Tariff ↑ → Export ↓ → Production ↓ → investment ← savings ↓ ← wages ↓
  2. Imported inflation due to retaliatory tradewars Eg oil imports (85% energy needs)
  3. Uncertainty ↑ < investment ↓ / currency fluctuation ↑
  4. H1-B visa changes: Talent mobility issues

Geopolitical challenges

  1. Russia-China axis strengths
  2. De-globalisation → failure of multilateralism
  3. Threat of sanctions: Iran and Russia crude oil

Opportunities for India

  1. Lower Tariff than competitors Eg: Vietnam (~ 48%), Bangladesh (~ 37%), China (> 100%)
  2. Opportunity for Textile sector
  3. Exemptions to pharma sector (major export)
  4. Boost to Electronic manufacturing
  5. solar panel exports ↑

Steps India should take

  1. Sign FTAs with US, EU, etc.
  2. Regional integration Eg: BIMSTEC chamber of commerce
  3. Strategic multialignment Eg: US/EU - BRICS/SCO, "Dragon-Elephant Tango"
  4. Capitalise on China+1 through PLI, MII, etc.
  5. Boost Domestic Demand through Budget Reforms (2025) and Repo cuts

Close

"Trump's Transactional America first stance is good for India... promotes multipolarity" (EAM Jaishankar)