Context India and the US reached a major trade agreement after months of uncertainty. Key Points US tariffs on India cut from 50% to 18%India expected to buy $500+ billion of US goodsIndia to reduce imports of Russian oilMove improves India’s access to US markets and eases bilateral tensionsSeen as strengthening India’s position vs China in global trade India’s Role as US Ally, China Counter Context The tariff cut reshapes India’s strategic and trade position. Key Points 18% tariff places India in a competitive position against other exportersUS sees India as a counterweight to China Global Capital Confidence, China+1 Strategy Context Chief Economic Adviser comments on implications of the India–US deal. Key Points Deal reduces uncertainty for global investorsStrengthens India’s place in China+1 supply-chain strategyExpected to boost domestic manufacturing and localised productionPositive signal for long-term investment and geopolitical stability.

Context India plans to reduce its heavy dependence on China for rare earth minerals by creating rare earth corridors in mineral-rich States. These corridors will support mining, processing, research, and manufacturing of critical minerals needed for high-tech industries. CorridorsOdishaKeralaAndhra PradeshTamil Nadu Why? India imports over 45% of its rare earths from ChinaChina controls 60%+ of global rare earth production and 92% of global refiningRare earths are crucial for smartphones, EVs, wind turbines, defence systems What the corridors aim to do Promote mining, processing, and manufacturing of rare earth elements (REEs)Build domestic capability so India doesn’t depend on ChinaStrengthen India’s position in global supply chainsSupport industries that need critical minerals for high-tech components Data in article India’s rare earth imports rose from $14.1 million (2014) to $17.5 million (2024)Over 45% of these imports come from China

Chairman Arvind Panagariya Period 2026–31 Key Changes vs 15th FC (Horizontal Devolution Criteria) Income Distance: 45% → 42.5%Population (2011): 15% → 17.5%Demographic Performance: 12.5% → 10%Area: 15% → 10%Forest: unchanged at 10%Tax & Fiscal Effort: 2.5% removedContribution to GDP: New, 10% introduced

Context The Union Budget introduces major initiatives to boost tourism, especially cultural, ecological, and Buddhist tourism. Key steps include Upskilling guidesEstablishing a National Institute of HospitalityDeveloping 15 archaeological sitesCreating environment-friendly tourism trails across multiple states Important Locations & Their States Buddhist Circuits (Northeast) Arunachal PradeshSikkimAssamManipurMizoramTripura 15 Archaeological Sites → Experiential Destinations Lothal – GujaratDholavira – GujaratRakhigarhi – HaryanaAdichanallur – Tamil NaduSarnath – Uttar PradeshHastinapur – Uttar PradeshLeh Palace – Ladakh Ecologically Sustainable Tourism Trails Mountain Trails Himachal PradeshUttarakhandJammu & KashmirAraku Valley – Andhra PradeshEastern Ghats – Andhra Pradesh / Odisha / Tamil Nadu regionsPodhigai Malai – Tamil Nadu (Western Ghats) Turtle Nesting Sites OdishaKarnatakaKeralaPulicat Lake – Andhra Pradesh–Tamil Nadu Border