What was the impact of US tariffs on Indian businesses?

Most Indian businesses, including many exporters, reported no significant impact from US tariffs, with only those directly exporting to the US experiencing negative effects.

How did Indian exporters respond to US tariffs?

Indian exporters successfully mitigated the impact by diverting their products to other international markets and increasing domestic sales.

Which firms showed the strongest business sentiments according to the NCAER survey?

Firms exporting to countries other than the US displayed the most elevated business sentiments in the NCAER survey.

Home / Business and Economy / India Navigates US Tariffs: Exports Shift to New Markets

India Navigates US Tariffs: Exports Shift to New Markets

9 Dec, 2025

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Summary

Most firms reported no impact from US tariffs, even exporters.
Firms exporting to non-US countries showed the strongest business sentiments.
Indian exporters successfully diverted trade to other nations and domestic market.

India Navigates US Tariffs: Exports Shift to New Markets

Indian businesses have demonstrated notable resilience in the face of evolving US trade policies and imposed tariffs. A significant majority of companies surveyed indicated no adverse effects from these tariffs, with even a substantial portion of exporting firms remaining unaffected. Businesses that primarily export to countries other than the United States reported the strongest positive sentiments across key economic indicators.

While firms directly exporting to the US experienced a negative impact, the overall export performance of India remained robust. This success is attributed to Indian exporters' strategic diversification efforts, actively redirecting their products to alternative international markets and strengthening domestic sales. This adaptability has shielded the broader Indian economy from a significant downturn.