US election 2024 impact on Indian economy: As Americans head to the polls on November 5 to decide the next president, global markets and economies, including Indias, watch closely. What would a win for either Republican Donald Trump or Democrat Kamala Harris mean for Indias economyEconomic impact of the US Presidential election on IndiaThe United States, the worlds largest economy, is also one of Indias largest trading partners, second only to China. Given the size of Indo-US trade, the economic policies of Trump and Harris carry implications for Indias export interests, technology sector, and more. Heres a breakdown of how each candidates victory could impact Indias economy and daily life.How Trumps victory could affect Indias economyOne of Donald Trumps core policies is protectionism. If he returns to the White House, higher import duties could strain Indias export industry. During Trumps previous term (January 2017 to January 2021), the compounded annual growth rate (CAGR) of Indo-US trade was 7.5%, compared to 9.2% under Joe Bidens term, as noted by PL Capital. However, Trumps tough stance on China could present opportunities for Indian businesses to capture market share previously dominated by Chinese exports.Kamala Harriss stance on H1B Visas and Indian professionalsA Kamala Harris win could mean more H1B visas for skilled workers, benefiting Indias large population of technology professionals. In contrast, Trumps policies have historically tightened H1B visa regulations. Since India receives the highest remittances globally, driven by professionals in the US, Harriss policies could support this economic pillar.Energy and oil pricesTrumps pro-oil exploration policies could potentially reduce global crude oil prices, a favorable outcome for Indias energy demands. Conversely, Harris is expected to champion renewable energy initiatives, aligning with Indias push toward sustainability and clean energy goals.Pharmaceutical sectorIndias pharmaceutical industry could also see impacts depending on the winner. Trumps policies may offer favorable pricing for Indias generic drug sector. Harris, on the other hand, could support Medicare expansion, which might also benefit Indian pharmaceutical companies that produce affordable generics.
