New Delhi
Indian corporates remain optimistic that India and the United States will reach a negotiated settlement on tariffs, according to a report released Wednesday. Industry leaders believe the final tariff rate on US imports from India could be lower than initially announced.
At an event hosted by financial services firm Emkay, corporate stakeholders noted that the 21-day “off-ramp” window provides room for a settlement. For firms heavily reliant on the US market, contingency plans — including relocating production to other regions — are being considered, though such shifts would take time.
While confidence in India’s long-term growth story remains strong, concerns persist over the impact of high tariffs, especially on textile and MSME exporters. Leaders warned that if the 50 per cent tariff stays, asset quality could come under strain. They expect the government to introduce support measures, such as a credit guarantee scheme, to ease the pressure.
Dixon Technologies shared its aim to move up the value chain and sustain growth. Adil Zainulbhai, Chairman of the Capacity Building Commission, highlighted efforts to boost efficiency in government and public sector operations.
Beyond trade tensions, business sentiment for the domestic market is upbeat. Companies across consumer goods sectors report early signs of demand recovery and are preparing for a strong festive season and robust second half of FY26. Lenders also forecast solid retail loan growth, even as corporate lending faces competition from the bond market.
Meanwhile, New Delhi continues discussions with Washington on the India-US Bilateral Trade Agreement, aiming to expand trade, attract investment, and ensure tariff stability for long-term predictability.
