Business
Trump’s 50% tariffs on India take effect: Industry analysts warn of fallout as export hubs brace for pain; trade deal still in limbo— key takeaways – Times of India
NEW DELHI: The additional 25 per cent tariff imposed by US President Donald Trump on Indian goods over New Delhi’s purchases of Russian oil have come into effect, raising the overall levy on exports to 50 per cent.Trump had first announced reciprocal tariffs of 25 per cent on India from August 7, alongside similar levies on about 70 other countries. He later doubled tariffs on Indian goods to 50 per cent, citing Russian crude imports, but allowed a 21-day window for negotiations.
Who’ll pay the price?
Several sectors, including textiles and apparels, gems and jewellery, seafood (primarily shrimp), and leather goods, are set to be affected by the newly imposed tariffs. The Indian pharmaceutical industry, a crucial supplier of generic drugs to the US, along with electronics and smartphones, including Apple iPhones, have been exempted from the tariffs. While some of the tariff costs may be absorbed by Indian exporters through price reductions and US importers by incurring higher expenses, the tariffs are expected to render Indian exports less competitive compared to exporters from neighbouring countries that face tariffs in the 10–25 percent range. The resulting decline in orders from the US, India’s largest market for these products, is anticipated to adversely impact hundreds of MSMEs (micro, small and medium enterprises), leading to layoffs and increased unemployment.
Exemptions and transit Clause
Indian products already “loaded on a ship and in transit” to the US before the August 27 deadline will be exempt from the additional 25 per cent duty, provided they are cleared for consumption by September 17, 2025, and importers declare the special code HTSUS 9903.01.85 to US Customs, DHS said.
FIEO sounds alarm as US tariffs bite
Apex exporters body Federation of Indian Export Organisations (FIEO) on Tuesday had warned that steep US tariffs have forced textile and apparel manufacturers in Tirupur, Noida, and Surat to halt production, reported PTI.President S C Ralhan said about $47–48 billion worth of India’s exports to the US now face 30–35 per cent cost disadvantages, making them uncompetitive against rivals from Vietnam, Bangladesh and China. Labour-intensive sectors like leather, shrimp and handicrafts are also at risk.He urged immediate support through cheaper credit, loan moratoriums, and faster trade deals, while stressing urgent diplomatic engagement with Washington.Also read: Indian refiners unlikely to stop Russia crude oil trade under US pressure
India stays firm
The government has ruled out retaliation but is preparing measures to cushion exporters from the 50% US tariffs. Senior officials told ET that a Rs 25,000-crore Export Promotion Mission is under consideration, covering trade finance, SEZ reforms, warehousing, ecommerce hubs, and “Brand India” promotion. Commerce minister Piyush Goyal said India will protect domestic interests through GST tweaks to boost demand in sectors like textiles and food processing, while also diversifying trade ties with other economies.Earlier, on Monday, Prime Minister Narendra Modi had said he could not compromise on the interests of farmers, cattle-rearers, and small-scale industries. “Pressure on us may increase, but we will bear it,” he asserted. India had described the US move as “unjustified and unreasonable.”
Experts call it a ‘lose-lose’
Trade experts warned the escalation risks damaging both economies. Mark Linscott, Senior Advisor with The Asia Group, was quoted by that “unfortunately”, the US and India have managed to convert what appeared to be a true and unprecedented win-win on trade into a “remarkable lose-lose.”“Hopefully, we will find a way to conclude a satisfactory mutually beneficial Free Trade Agreement with the United States early rather than late and that would certainly take us to the next step of the visit of President Trump to India,” said former foreign secretary and Rajya Sabha MP Harsh Vardhan Shringla.Meanwhile, Raj Manek, Executive Director and Board Member of Messe Frankfurt Asia Holdings Ltd stated India must intensify its focus on innovation and sustainability to achieve its $100 billion target in textiles. He stressed that investment in man-made fibres (MMF) and performance fabrics would be critical at this stage. “Over 60 per cent of global fibre consumption is now in MMF. With the PLI scheme targeting MMF apparel and technical textiles, India is well-positioned to build scale and future-ready capacity,” Manek said after the conclusion of the 13th edition of Gartex Texprocess India, a tradeshow on garment and textile machinery held in the capital, as reported by ET. He added, “At the same time, adopting energy-efficient machinery, managing effluents effectively, and converting waste into value will help meet ESG expectations while lowering costs.”
Indian refiners unlikely to stop Russia crude oil trade
Indian refineries are continuing their imports of Russian crude despite the Trump administration’s 25 per cent additional tariffs, with officials indicating minimal likelihood of halting purchases. Executives told ET that September-loading cargoes were slightly lower due to reduced discounts on Russian oil, but October volumes could rise as prices adjust. They stressed that there are no official instructions to stop procurement, reflecting the government’s clear message of “country first, commerce later.” Officials, including PM Narendra Modi, External Affairs Minister S Jaishankar, and Commerce Minister Piyush Goyal, have conveyed that India will support exporters through challenges rather than yield to US pressure. Industry representatives also noted that while transitioning from Russian oil is technically feasible, rapid changes are unnecessary as supply lines and global markets remain stable.Also read: India prepares multi-pronged strategy to shield economy; details here
Blow to the US too?
The tariff shock is also expected to hit the American economy. According to a report by the State Bank of India (SBI), US GDP could be shaved by 40–50 basis points, while inflationary pressures are likely to rise due to higher input costs and a weaker dollar.Also read: 50% tariffs on India to blowback on Trump? US GDP could shrink 40–50 bps, inflation to flare “We believe that US tariffs are likely to affect US GDP by 40–50 bps along with higher input cost inflation,” the SBI report noted. Import-sensitive sectors such as electronics, automobiles, and consumer durables are already feeling the strain. The report added that US inflation is expected to remain above the Federal Reserve’s 2 per cent target through 2026, driven by tariff pass-through and currency effects.
Trade deal still in limbo
Talks on a bilateral trade agreement (BTA) between India and the US have stalled, with the American delegation having postponed its scheduled August 25 visit to New Delhi.US Treasury Secretary Scott Bessent has accused India of “profiteering” by reselling Russian oil, while trade talks between the two sides remain on “thin ice,” according to experts. Analysts warn that unless Prime Minister Modi and President Trump engage directly, chances of reviving the deal remain slim. The deadlock raises uncertainty for exporters, who had earlier hoped for tariff relief through a limited trade pact.
Piotr Swat | Lightrocket | Getty Images
As its high-margin compounded GLP-1 business evolves, Hims & Hers Health may be finding a new opportunity in peptides.
Shares of the telehealth company jumped Thursday after HHS Secretary Robert F. Kennedy Jr. announced Wednesday that the FDA plans to convene a Pharmacy Compounding Advisory Committee meeting to review peptides for potential inclusion on the 503A bulk list, a designation that allows drugs to be compounded on an individual prescribed basis rather than mass producing.
For Hims, the bigger story is how expanding compounding for peptides could unlock new revenue streams as it directs members toward branded rather than more profitable compounded GLP-1 drugs. The telehealth company has been building toward a peptide business for years.
Peptides are short chains of amino acids — think of them as small building blocks of proteins — that are being explored for a wide range of health and wellness uses. They’re controversial because scientific evidence on their long-term safety and effectiveness is limited, and their production remains largely unregulated.
Hims & Hers made a significant move into the space in February 2025 when it acquired a California-based peptide facility. At the time, CEO Andrew Dudum called peptide demand “future-facing innovation.”
“Many use cases have yet to be launched,” said Dudum. “Peptide innovation is at the forefront of so many categories we’re excited to start offering.”
Following Kennedy’s announcement on Wednesday, Hims Chief Medical Officer Dr. Patrick Carroll applauded the news as a move away from the “gray market,” saying the goal is to bring peptide therapy into regulated, physician-led care.
“Our medical team believes certain peptide therapies hold meaningful potential in helping Americans live healthier lives, and we are actively exploring how to expand access in a way that will be aligned with FDA guidance,” Carroll said.
Leerink Partners called the news that the FDA will review peptides for the compounding list a positive outcome that could give Hims a clearer regulatory path to scale peptide therapies. Even so, the firm said it will take time for peptides to boost the company’s bottom line.
“This would not immediately translate into revenue, but would seemingly be a growth avenue that HIMS would push hard on,” said Leerink analyst Michael Cherny, who has a hold-equivalent rating on the stock and a $25 price target. It was trading around $26 a share Thursday.
For now the opportunity is still early, and clinical evidence supporting many peptide therapies is still limited.
Of the dozen peptides listed by Kennedy for consideration on the compounding bulk list, one — MK-677 — is often treated as an illegal drug when sold for human consumption. The growth hormone has also been banned by the World Anti-Doping Agency.
Other peptides on the list, such as GHK-Cu and Semax, which are used for cosmetic or cognitive enhancement, are generally viewed as less controversial, but still lack robust scientific backing.
Kennedy — who has supported many medical treatments and food options outside of those backed by mainstream science — was asked about his plans for expanding peptide therapies during a House Ways and Means Committee hearing Thursday.
“Peptides were not supposed to be regulated,” Kennedy said, arguing the Biden administration restricted the use of peptides due to safety concerns that he considers unfounded.
The FDA process is just beginning, and the July meeting will be advisory only, so change is not expected to be immediate.
Even so, investors are already focusing on what replaces GLP-1 driven growth for Hims, and peptides are emerging as one of the clearest candidates so far.
The Netflix logo is seen on an office building in Los Angeles, California, on Feb. 5, 2026.
Michael Yanow | Nurphoto | Getty Images
Netflix kicks off earnings season for media companies on Thursday with a quarterly report that Wall Street hopes will give more updates on the company’s path forward after walking away from its proposed deal for Warner Bros. Discovery.
Here’s how Netflix is expected to perform when it reports results for the first quarter of 2026, according to estimates from analysts polled by LSEG:
- Earnings per share: 76 cents estimated
- Revenue: $12.18 billion estimated
Last quarter Netflix’s management focused much of its earnings call with investors on its interest in WBD’s streaming and film assets, as well as progress in its advertising business.
Just weeks after the January earnings update, however, Netflix dropped its pursuit for WBD after Paramount Skydance put forth a superior offer for the entirety of WBD.
“Heading into earnings, Netflix finds itself in a very different spot than many expected just a month and a half ago. We were supposed to be talking about the company’s progress toward closing the Warner Bros. deal,” said Mike Proulx, vice president and research director at Forrester. “Instead, the question now is how Netflix competes in a streaming market that’s likely to get more crowded at the top.”
While Netflix’s stock has made considerable gains since walking away from its WBD deal — a more than 25% rally — it has raised questions about the path forward for the streaming giant.
In withdrawing from the acquisition of WBD, Netflix “avoided a substantial increase in debt, extensive regulatory scrutiny, and a long, complex integration process,” according to a Deutsche Bank research note on Monday.
The note added this will allow Wall Street to return its focus to Netflix’s engagement, pricing and advertising.
Outside of the WBD deal and Netflix’s potential aspirations in the broader media landscape, Wall Street’s attention has most often been on the advertising business, which has made considerable gains since launching in late 2022.
In January, Netflix management said the cheaper, ad-supported option was hitting its stride after being “slower out of the gate” in its early years on the market. Netflix reported more than $1.5 billion in advertising revenue in 2025, or about 3% of its total full-year revenue — which it expects to double this year.
For years, Wall Street was focused on subscriber growth for streaming platforms. However, since Netflix reported its first subscriber loss in 10 years in 2022, investors have shifted their focus to profitability. In response, media companies are focusing less on reporting subscriber numbers and more on other business initiatives, such as advertising and pricing increases.
Netflix once again hiked prices in late March, which analysts expect will add to overall 2026 revenue growth. The company did provide a subscriber update in January, when it said it had reached 325 million global paid customers, a new milestone since it had last reported membership numbers the year prior.
This story is developing. Please check back for updates.
Royal Mail is poised to scrap Saturday second-class letter deliveries across the UK by December, having reached an agreement with the staff trade union on the nationwide implementation of the changes.
This significant overhaul, which will see second-class post no longer delivered on Saturdays and the service adjusted to every other weekday, brings an end to a lengthy dispute with unions. The reforms will initially extend to 240 delivery offices as part of a wider trial, before being fully implemented across the entire 1,200-strong UK network by the end of the year.
The deal struck with the Communications Workers Union (CWU) includes a 4.75% pay rise for staff, alongside improved terms for those who joined Royal Mail on or after 1 December 2022. Employees on legacy contracts will receive a 3% salary increase. Additionally, Royal Mail has agreed that new starters will be offered contracts based on standard 37-hour working weeks, and around 6,000 part-time postal workers will have the option to increase their average weekly hours as part of the changes.
CWU members are now set to be consulted on the agreement.
Alistair Cochrane, chief executive of Royal Mail, said: “This agreement with the CWU paves the way for Universal Service reform rollout and represents a significant investment in our people.
“Moving ahead with reform will make a real difference to Royal Mail’s quality of service, supporting the delivery of a reliable, efficient and financially sustainable postal service for our customers across the UK.”
Regulator Ofcom last year gave the green light to Royal Mail’s plans to scale back second class letter deliveries, starting from July 28.
It launched the changes across 35 delivery offices as a pilot, but has yet to expand this nationwide due to a disagreement with the union.
It kicked off intensive talks with the CWU at the beginning of February to resolve the dispute.
Under the Universal Service Obligation, Royal Mail must keep Monday to Saturday deliveries for first class post and maintain the target for second class letters to arrive within three working days.
The group has argued the changes to second class deliveries are crucial to helping it maintain the letter delivery service and ensure it is sustainable for the future.
It comes as Royal Mail has continued to fail to meet delivery targets set by Ofcom and amid MP concerns over practices in the postal service and worries that parcels are being prioritised over letters.
In a cross-party Commons committee session last month, the CWU told MPs the postal service had become “chaotic” with Royal Mail workers being told to leave doctors’ and hospital letters on racks to prioritise parcels.
Royal Mail’s owner Daniel Kretinsky, who was also giving evidence to the committee, insisted there was no “management decision” for parcels to be prioritised over letters and argued the service cannot be fixed until plans for reform of the USO are put in place.
On the agreement with Royal Mail, the CWU said in a statement to its members: “It is now imperative that all branches, representatives and members have the opportunity and time to fully consider this agreement properly, not only on the basis of how we have moved the company significantly on all the key issues, but also in its wider context around why USO reform is necessary and why we must shift our focus to changing the role of Ofcom and create a level playing field with our competitors.
“Delivering change will always be difficult but we are clearly in a stronger position to support our members under the terms of this agreement.”
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