It is not easy to lead business in India – whether local year or multinational. Since the global economic and business rules resist, with American friends and enemies with tariff weapons trademarks, chaos and uncertainty have spread across the global economy. Businesses hit the intervention – not only from the immediate ones on tariffs, but also from negative sentiment around the uncertain business and investment environment.
US tariffs of 50% on Indian exports were mainly affected by industries such as textiles and clothing, gems and jewelry. Also automatic components, face pressures, as they rely on exports to the US and Europe. Meanwhile, renewable energy companies are less directly affected by Washington’s tariffs, but remain deeply dependent on China for technologies and inputs. The recent release of Chinese tension has offered some assurance, but the nerves remain raw.
In order to explore the risks and opportunities, it has explored the risks and opportunities, convened a leader with the CEO (CEO) and thought leaders across textiles, renewable energy, mining, electronics, automotive component and law. Not only sectoral stories have appeared, but conventional fibers that reveal how Indian businesses think about survival – and growth – in turbulent times.
China: Partner, competitor and risk
There were few questions in the discussion than China. The dependence is significant for the renewable energy industry. “China is the largest part of our supplier chain, so anything that is happening with China is the greatest risk to us,” said Nikhil Dhingra, CEO of the renewable energy manufacturer ACME Solar. Although India expands its home production base, the most important technology is still imported.
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Bharat Saxen, CEO of Inox Clean Energy, a leading company of green hydrogen and renewable sources, pointed out that the module dependence decreased from “more than 100% to approximately 80%” thanks to Indian investments and Chinese imports. But when it comes to wind turbines, battery storage or lithium-ion cells, China is still dominated. “The Catl reports a 500 GW battery race unfolded over 68 km. No one can even visualize the scale,” he said. “India must become China plus one – we can’t miss the bus while Vietnam, Malaysia and Thailand are moving fast.”
Electronics players repeated it. “We are stuck between the two devils. You can’t wish China for a supplier chain and you can’t wish America as consumers,” said Syrma SGS, CEO of electronics manufacturer.
Searching for global champions
Several participants lamented that India, despite its extent, is still trying to produce worldwide competing champions. “Eighteen percent of the world’s population is located at 3.5% of the world’s GDP. No tiger economy has ever been created without significant participation of women. India can shine without being a major exporter of goods,” said Pankaj Mohindroo, chairman of India India cellular & Electronics (ICEA).
As an exception, he pointed out electronics, where exports have risen dramatically. However, he claimed that India needs domestic brands that compete at the very top. “We don’t have one strong global brand beyond the hero, Bajaj and Mahindra. We need global value chains across sectors, not just small businesses that feed the domestic market,” he said.
The management of mining sees a similar gap. “We are the largest zinc producer in the world, but we do not have a global brand. We buy inputs and sell domestic farmers. Regulatory restrictions prevents manufacturers from worldwide,” said Neeraj Awasthi, rural manager, cropping nutrients in the global mining group Angloamerican.
Tariffs and human costs
Most visceral stories came from the clothing industry that employs millions at work demanding work. “Several companies, including ours, depend on 80-95% on the US market. If there is no compromise, you will see 1 people from employment in the next 3-4 months,” warned Sudhir Dhingra, chairman and CEO of Orient Craft exporter.
He compared to Bangladesh, where the exports of clothing anchor the economy and ensure mass employment to women from a disadvantaged environment. “At least 50% of Indian people are women, most of the smaller cities. Their fate is sealed if the industries are ignored. The technology is good, but half of India will remain behind,” he said.
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The fear of lost jobs and the waste of demographic potential also resonated with Mohindro’s point about women in the workforce. They both claimed that India could not build a real growth story, while millions would leave insufficiently employed.
Diversification outside America
One of the normal fibers was to reduce addiction to the US market. “Why are we so hung in America?” asked Sudhir Dhingra of Orient Craft. “How many of us have gone to South America, Eastern Europe, Russia? This is an opportunity.”
Gujral Syrma SGS repeated the logic of diversification. Only 5% of his company’s income comes from the US, he said, compared to 25% of total exports. “European customers are long-term partners-the first European client since 1992 is still with me. Society must all geography and sectors,” he said.
Uncertainty as a new normal
If one word captured the mood, it was uncertain. “Since 2005, when (Thomas) Friedman has written that the world is still flat, there is complete uncertainty. Today, world politics is like a” situacissships “gene – you don’t know who he’s or how long,” said Shivpriya Nanda, JSA Advocates & Adlicitors.
This unpredictability complicates even legal contracts. “During Covida, we began to look at the provisions of power.
Car suppliers face similar unpredictability. “No one has 25% margin to absorb tariffs. Finally, the customer has to deal with their government,” said Vivek Vikram Singh, CEO of Auto Components Major Sona Comstar.
Yet he saw upside down in the chaos: “Uncertainty is like fog. If you can navigate it, you get in advance. Two European competitors have already walked up. For Indian companies with strong balance sheets.”
Resistance
Yet not all leaders see the outlook as completely bleak. Mohindoo of Icea claimed that disruption may prove to be temporary. “I suppose our tariffs will be around 15%in the next two to three months before Christmas,” he said, urging Indian companies to be involved in the US import market of $ 3.5 trillion.
At the same time, Mohindroo stressed that India must also clear its industries, attract investments and learn to sleep with the enemy – as China did, it was based on technology and capital of opponents.
Or, as suggested by Singh of Sona comstar, fog is not just a threat, but a test: “If you sit waiting for the fog to clean up, you will be where you started – sometimes you can stay behind. If you feel you walk, you will get there faster.”
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