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What does the victory of Donald Trump in USA means to India


It was largely expected that Hillary Clinton would be the first women president of USA. But the result on 8th November have proved otherwise. The global media has been against Mr. Trump but the result said that he has maximum supporter in US, which curiously was built on a negative platform of anti-immigration anti-globalization and Anti-Muslim Ideology.

But what does it imply for INDIA?

There were mixed reaction during the course of the campaign with some of are praying for his success while some of are not. On the political side, Trump would make the USA a useful ally for the India given the border tension with Pakistan since terrorism has been high on his agenda, Also Republican Party has been strongly inclined towards India especially on the nuclear issue and would be again more positive for us.

What India gain in future

  • Even though Trump wants to make strict rule for immigration, he does say that he wants to encourage Indian entrepreneurs and students to the USA maybe that's a good sign.
  • The Trump victory would be good for investment flows as he has indicated that he wants interest rate remain low. Hence the expected rate hike of the federal reserve may be delay for some times.
  • He said that he would label China a currency manipulator and impose heavy tariffs if china didn't agree to rewrite trade agreements.
  • He labelled Pakistan as a Semi-stable and safe haven for terrorist and that's what try to prove in front of UN (United Nation).
  • Trump's hard stance on terrorism could also result into deeper Indo-Us defense and strategic ties.

What India loses in Future?

  • Because of the winning of the trump in Madan Sabnavis of CARE rating, the immigration issue is slightly against us. While he has not targeted Indians and has directed at Mexicans. Also, his stand against moving jobs outside the US are well-known. Quite clearly the IT sector has a reason to be worried. He wrote in an opinion piece for First Post. This does not augur well for India since a large part is dependent what happens in the policies on immigration in the US.
  • Once Trump said "I know the outer world exists. But at what point do you say, hey we have to take care of ourselves". It implies serious ramification on free trade, immigration, outsourcing etc. At the campaign time Trump claimed that the Americans are living through the "greatest jobs theft" in the history of the world, saying US companies were moving out jobs to countries like India, China, Mexico and Singapore.
  • One of the highlight of Trump's campaign is his plan to reduce corporate tax in the US to 15 %. At present the rate is 35%. This would have made USA one the most attractive destination in the world for business especially for the Americans company which is set up in other country to improve their profit by paying less taxes in those country which may harm modi's campaign "Make in India".

Trump's opinion on India is largely positive. Last month he attended an event organized by Hindus in US where he proclaimed his love for India by saying "I love Hindus". Lastly one thing is sure that If US create a non-friendly environment for us, we are self-sufficient to create a healthy economic condition for us because of our stable growth of our economy.

- Montai Basu