U.S.–India Trade Deal Cuts Tariffs to 18%, Boosts Infosys Shares
President Trump reduced U.S. tariffs on Indian goods from 25% to 18% under a new U.S.–India trade deal, committing India to purchasing at least $500 billion of U.S. products over five years. The announcement lifted Indian IT stocks, including Infosys, as analysts project gradual supply chain shifts benefiting U.S. multinationals.
1. Trade Deal Details
The U.S. administration cut import tariffs on Indian goods from 25% to 18% under a five-year agreement in which India will buy at least $500 billion of U.S. products, aiming to strengthen bilateral trade ties and diversify supply chains away from China.
2. Infosys Stock Reaction
Shares of Infosys rose following the announcement as investors anticipate increased demand for its IT services from U.S. clients benefiting from reshored manufacturing and reduced trade frictions.
3. Analysts' Supply Chain Outlook
Analysts expect the deal to gradually shift global supply networks, potentially boosting order pipelines for Infosys by facilitating closer collaboration between U.S. multinationals and Indian technology providers.