The global economy is facing renewed uncertainty amid high trade tariffs, fiscal pressures in advanced markets, and fragile capital flows. Despite these headwinds, India’s growth outlook remains robust, driven by strong domestic consumption and continued government spending, according to a report released Tuesday by SBI Capital Markets.
Titled “Tariffs are Made in the USA, but Resilience is Made in India,” the report highlighted that the U.S.’s aggressive tariff regime has emerged as a major global flashpoint. The legal status of these tariffs is under question after a U.S. appeals court deemed them unconstitutional, prompting the administration to take the matter to the Supreme Court.
The report noted that the case could lead to three possible outcomes: tariffs being upheld, renegotiated, or struck down altogether. Until a verdict is reached, trade-policy uncertainty is expected to persist, with sectors such as automobiles, electronics, and textiles facing the greatest pressure.
