If America's recession, tariff terror spreads, this growing business of India will sink

Business News: Ever since Donald Trump became the President of America, there has been chaos in the economies of the world. Donald Trump has started a tariff war from Mexico to China and Canada. In April, he has also talked about imposing tariffs against India. Meanwhile, the fear of recession in America is deepening in the coming months. If the terror of these two deepens, then India's most growing business will sink.

India's IT industry and exports

India's IT industry exports more than $280 billion every year. It also generates employment for crores of people in the country. A large part of the export orders of India's IT industry comes from America. Indian engineers are also ahead in outsourcing for American companies.

If the possibility of recession in America

About 50 percent of India's total IT export revenue comes from America. In such a situation, if the possibility of recession in America deepens, then it will affect the growth of the IT industry. On the other hand, if Trump's tariff policy is implemented on India as well, then it will increase the cost of Indian software companies. This will again affect the export of this sector.

 Growth of IT industry important?

The growth of India's IT industry is very important. The overall growth of this sector can be up to 6% in the financial year 2024-25. This is slightly less than the estimate of the country's GDP growth. At the same time, this is the time of change for the IT sector in the world, where the work of machine learning, artificial intelligence and data analysis is increasing. Here India's competition is most from China. Therefore, if there is an earthquake in this sector, then it will affect the IT sector of the country for a long time.

What do industry experts say?

According report, IT outsourcing expert Pareek Jain says that there is a doubt among the companies of this sector regarding the possibility of recession in America and Trump's tariff policy. This is making their long term and medium term plans challenging. At the same time, L&T Technology Services Chief Amit Chaddha says that many IT companies are currently in a 'wait and watch' situation regarding the tariff war.