New Delhi: Indian export-oriented stocks particularly textile and shrimp companies rallied sharply on Wednesday after former US President Donald Trump hinted at a potential trade deal with India.
Speaking at the APEC CEO Summit Luncheon in Gyeongju, South Korea, Trump praised Prime Minister Narendra Modi, saying he plans to “do a trade deal with India.” His upbeat remarks immediately boosted market sentiment, especially among exporters who depend heavily on the American market.
“I’m doing a trade deal with India and have great respect and love for Prime Minister Narendra Modi… we have a great relationship,” Trump said, adding that Modi is “tough as hell” and “the nicest-looking guy.”
Investors interpreted Trump’s tone as a signal of possible tariff relief for Indian exports. Shares of top shrimp firms jumped 2–4%, bouncing back from recent declines after the US imposed a steep 50% tariff on Indian goods, citing New Delhi’s oil imports from Russia. Textile companies also logged similar gains as optimism spread across the sector.
Market watchers said that Trump’s remarks have rekindled hopes of a revival in India-US trade ties, especially after months of tension over tariffs and energy imports.
Reports suggest progress on two of three major issues the US’ reciprocal tariffs and India’s discounted Russian oil imports. Meanwhile, bipartisan support for stronger India-US ties continues to grow in Washington, with lawmakers emphasizing accountability and partnership.
As investor confidence climbs, analysts predict that a formal trade understanding if realized could offer a major boost to India’s export-driven industries.
–IANS
