US President Donald Trump recently imposed 50% tariffs on India, which drew sharp reactions from New Delhi. Trump said that India is facing the tariffs because it refused to stop the import of oil from Russia, which the US president says is ‘fueling the war machine’ of Moscow.
The war machine reference was to the Russian invasion of Ukraine, an ongoing war that has continued since 2022.
While Trump had originally imposed a 25% tariff on India, he increased it to 50% after New Delhi continued its trade ties with Moscow.
How Will India Respond to Trump’s Challenges?
In response, the Indian government said Trump’s tariffs are ‘unjustified and unreasonable.”
Amid a hike in trade tensions with the US, India’s Prime Minister Narendra Modi said during a speech in Bengaluru that Indians must opt for self-reliance and buy products that are manufactured locally.
Also, many business leaders and organizations too said on social media that American products must be boycotted by Indians in retaliation against Trump’s tariff threats.
India, being the world’s most populous country, comes across as a big market for US companies, particularly the bigger firms.
If Indians actually decide to shun products of Americans, many US-based firms could face the heat of this boycott movement.
We take a look at some of these companies:
Fast Food Firms
Popular companies like McDonald’s and KFC, with hundreds of outlets across India, could see a sudden dip in their earnings. Similarly, cold drinks such as Pepsi and Coca-Cola too could bear the brunt of the boycott movement.
Tech Firms
The most popular American tech product in India is Apple and its gadgets. iPhones and iPads could swiftly face a decline in sales, and Indians could opt for different brands.
Beverages: Starbucks, another popular outlet among Indian youth too, could face the ire of boycott and lose their income drastically.
Digital Services: The Americans rule this world, with pretty much every big digital firm based in the US. X (formerly known as Twitter), Facebook, WhatsApp, and Instagram are all American products. However, India is the largest market for these firms, as none of these firms are allowed in China.
If there is further growth in resentment against US policies, Indians could boycott these products also. However, the chances of this happening are low due to fewer alternatives and the overreliance of Indians on these products.
Experts have said India could lose USD 60 billion due to the tariffs imposed by the US; its boycott of the American products could return the favor to Washington also.
Also Read: US President Donald Trump Again Claims He Stopped ‘Nuclear Conflict’ Between India-Pakistan
