Jarvis
  • CATEGORIES
    • Equity Market
    • Investing Basics
    • Interesting Read
    • AI for investing
    • Trending Stock Market News: Quick Reads
    • Portfolio Management
    • Newsletter
  • I AM A
    • Beginner
    • Intermediate
  • Home
  • Products
    • Jarvis Portfolio
    • Jarvis Protect
    • Jarvis OneStock
  • FAQs
  • About Us
  • Contact Us
  • Become a Partner
No Result
View All Result
Jarvis
  • CATEGORIES
    • Equity Market
    • Investing Basics
    • Interesting Read
    • AI for investing
    • Trending Stock Market News: Quick Reads
    • Portfolio Management
    • Newsletter
  • I AM A
    • Beginner
    • Intermediate
  • Home
  • Products
    • Jarvis Portfolio
    • Jarvis Protect
    • Jarvis OneStock
  • FAQs
  • About Us
  • Contact Us
  • Become a Partner
No Result
View All Result
Jarvis
No Result
View All Result
Home Interesting Read

How Trump’s Re-Election Impacts India

by Sumit Chanda
November 10, 2024
in Interesting Read, Trending Stock Market News: Quick Reads
Reading Time: 7 mins read
A A
0
Trump's Re-Election Impacts India
Share on FacebookShare on Twitter

The much-awaited US presidential election results are out, and as most expected, Trump is back in power again! And with that, all the countries around the globe have started evaluating whether Trump 2.0 will be positive or negative for their country. For India, it brings both opportunity and challenges. Given the change, share market advisor in India are now exploring sectors that will benefit from the change and which ones investors should stay away from, at least in the short term. In this article, we lay down the positives and negatives for India with the appointment of Trump as the US President and how Trump’s Re-Election Impacts India.

Trump 2.0: What It Means for India’s Economy and Indian Stock Market

Key Challenges for India

Higher Tariffs on Indian Exports

One of the biggest concerns after Trump started office at the White House is the tariffs. As per Trump 1.0, India levies heavy tariffs on the US companies, and he had been vocal about it during his first tenure. As per experts, the Trump 2.0 could levy heavy taxes on Indian exports, which would take a toll on domestic businesses. He had been said about it during his election campaign. You should note that the US is India’s largest trading partner, with an annual trade of over $190 billion. Since the US is India’s largest trading partner, this could impact key industries, from manufacturing to agriculture.

Threats Over Currency Shifts

India aims to diversify its trade currency away from the US dollar. However, Trump’s policies may penalize countries moving away from the dollar. Such penalties could disrupt India’s trade plans and economic strategies. Some countries are working towards moving away from the US dollar. India is also one of them, and Trump has threatened not to do business with countries that are moving away from the dollar. If the threat becomes a reality, it could impact India’s effort to shift away from the US dollar and deploy more rupees for trade.

Rising Inflation Concerns

The above two factors lead to a high trade barrier. As per Bernstein Research, a high trade barrier could trigger a spike in inflation that can put the rate-cut trajectory off-route, resulting in higher income inequality. With higher inflation, the middle class could be impacted as the prices of essential items will increase.

Opportunities for India

Not all is gloomy for India and businesses with Trump coming to power. Here are some ways India and Indian companies will benefit:

Relief for Oil Importers

It is a well-known fact that Trump loves fossil fuels, and once he takes over the day-to-day activities, it will lead to higher production of US oil and gas, which could ease global oil prices. As we know, India is a net importer of crude oil, and the lower crude oil price will definitely benefit India. Indian consumers and refiners are likely to benefit.

Prospects for the IT Sector

The Indian IT sector will face some challenges and will benefit also. If Trump wins, Indian IT companies may face challenges due to possible changes in US immigration policies, especially regarding H-1B visas. Trump has criticized the H-1B program in the past, calling it “unfair” to American workers and pushing for higher minimum wages for visa holders. Given that the US is a major market for Indian IT firms, any tightening in visa policies could limit their ability to send skilled workers to client sites.

However, a Trump administration might also intensify anti-China trade policies, which could benefit Indian exports. As the US seeks alternatives to Chinese suppliers, India could become a preferred partner, potentially opening more business opportunities for Indian IT firms and other sectors. This shift could help offset some of the challenges posed by stricter visa regulations, allowing Indian companies to expand their footprint in the US.

Possible Growth in Foreign Investment

One of the biggest concerns for the Indian equity market recently is the outflow of Foreign Institutional Investor (FII) funds. With Trump returning to office, we could see a renewed preference for business ties with India, potentially reversing recent outflows in FII. Trade realignments driven by US-China tensions could position India as a strategic partner, benefiting from strengthened economic and political cooperation. Despite occasional trade disputes, the US views India as a valuable counterbalance to China, with a strong alignment in defense, clean energy, and security. This alignment could lead to increased FPI inflows and bolster India’s foreign policy and economic growth trajectory.

Boost for the Textile Sector

As per JM Financial Report, Trump has a pro-business stance, which includes tax cuts and deregulation policies. It will lead to higher demand in the US economy, which eventually will improve the customer retail sentiment. How does it benefit India? With improved customer sentiment, the demand for imported goods, including apparel. India is a major exporter of apparel and textiles to the US, and it could see a rise in demand for its products. Therefore, the textile companies (those exporting to the US) are likely to benefit.

To Sum Up

Overall, the change of power in the US may lead to short-term volatility in the Indian market. However, in the mid to long term, India’s growth story is intact, and if you have not been part of it until now due to a lack of knowledge or otherwise, it is time to get started. Our Stock Portfolio Builder helps you get started with direct equity investment in a few easy steps. Our AI Stock portfolio takes care of everything – portfolio creation, monitoring, and risk management.

Start investing today to seize opportunities in the evolving market.

Tags: best share market advisor in indiacrude oil prices 2024Indian stock marketIT Sector stocksjarvis aiportfolio advisory servicesshare market advisorstock advisory companystock market aiTrump's re-electionTrump's re-election impacts India
Sumit Chanda

Sumit Chanda

Sumit has 18 years of experience in BFSI industry, into devising strategy for various functions, Investments and Managing Asset Portfolios. Specializes in Strategy & implementation in sales & operations, Team management, IT implementation, Affiliations.

Related Posts

NSDL and CDSL Made Simple: What Every Investor Should Know

by Sumit Chanda
August 6, 2025
0
5.2k

The capital markets of India are now going through a significant evolution, whereby the NSDL, which has been much looked...

Best Railway stocks in India to Invest Now in 2025

Top Railway stocks in India to Buy Now in 2025

by Sumit Chanda
August 4, 2025
0
5.3k

The Indian railway sector stocks are undergoing a historic transformation as a result of record budget allocations, alongside strong government...

Commodity Market Trend in India: What Stocks to Buy Now

Commodity Market Trend in India: Which Stocks to Buy Now

by Sumit Chanda
August 1, 2025
0
5.3k

The financial environment in India is changing at a very fast pace and the commodity market is becoming a more...

SmallCap and Midcap-Stocks-Surge-Buy-Now-or-Hold

Smallcap & Midcap Stocks Surge: Buy Now or Hold?

by Sumit Chanda
July 28, 2025
0
5.3k

The year 2025 has begun on a difficult note for investors in small and midcap stocks. The Nifty Midcap 150...

Pharma Sector Stocks to invest in 2025

Pharma Sector in 2025 : Best Pharma Stocks for Profit & Growth

by Sumit Chanda
July 25, 2025
0
5.3k

The drug business is quick in 2025. New drugs are being approved more often. Corporations are also trying new methods...

Indian IT Stocks vs Global IT stocks - where to invest now

IT Sector Stocks vs Global Tech: Where to Invest Now?

by Sumit Chanda
July 24, 2025
0
5.3k

The technology sector has proven to be one of the most powerful engines of wealth creation globally. From India’s IT...

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Please enable JavaScript in your browser to complete this form.

Fill in your details to get high-growth stock recommendations

Jarvis Invest - SEBI Registered Stock Market Investment Advisor in India

https://jarvisinvest.com/

Jarvis Invest - AI based Stock Market & Financial Advisor in India
Jarvis Invest - AI based Stock Market & Financial Advisor in India

Loading
  • Equity Market
  • Investing Basics
  • AI for investing
  • Trending Stock Market News: Quick Reads
  • Interesting Read
  • Financial Planning
  • Portfolio Management
  • Newsletter
Connect with us: customersupport@jarvisinvest.com

© 2023 Jarvis Invest

No Result
View All Result
  • CATEGORIES
    • Equity Market
    • Investing Basics
    • Interesting Read
    • AI for investing
    • Trending Stock Market News: Quick Reads
    • Portfolio Management
    • Newsletter
  • I AM A
    • Beginner
    • Intermediate
  • Home
  • Products
    • Jarvis Portfolio
    • Jarvis Protect
    • Jarvis OneStock
  • FAQs
  • About Us
  • Contact Us
  • Become a Partner

© 2023 Jarvis Invest

Go to mobile version