US Tariffs Hit Indian Exporters: What Stocks Face

US Tariffs on Indian Imports: The Numbers That Matter US tariffs on Indian imports have hit levels not seen in over two decades. Effective rates on select goods now sit at 26% under the latest executive order, covering an estimated $77 billion in annual Indian exports to the United States. Indian equity markets didn't take it well. The Nifty IT index dropped 2.4% in a single session. Pharma indices slipped 1.8% as investors priced in margin compression across export-dependent sectors. This isn't a one-off shock. It's the latest move in a trade realignment between Washington and New Delhi that's been building since late 2023. For investors holding positions in US-revenue-heavy names, the question isn't whether earnings will be affected. It's how much, and for how long. Sectors with deep US client concentration, specifically IT services, pharmaceuticals, textiles, and auto components, carry the most visible risk. Domestically anchored sectors like banking, infrastructure, and FMCG are drawing fresh interest as relative safe harbors. IT Services: Margin Pressure Before the Bill Even Arrives [Infosys](/stock/INFY) (NSE: INFY) and [TCS](/stock/TCS) (NSE: TCS) generate roughly 25 to 28% of consolidated revenues from North America. Wipro (NSE: WIPRO) sits closer to 30%. None of these companies directly pay the tariff since their services aren't goods crossing a border. But the second-order effect is real. US clients facing higher input costs on manufactured goods tend to tighten discretionary tech spending, delay transformation programs, and push harder on contract renegotiations. Analysts at Kotak Institutional Equities flagged in a March 2025 note that a sustained tariff environment could trim 80 to 120 basis points off IT sector EBIT margins through FY26 as pricing power weakens and deal closures slow. That's not catastrophic. It is, however, enough to shave 6 to 10% off consensus earnings estimates for the large-cap IT names. Stocks with FairStock Scores above 70...