US tariffs on Indian medicines? Pharma firms could feel pinch
The US is thinking about raising tariffs on medicines imported from India—possibly by a whopping 250%.
That's a huge deal for Indian pharma companies, since the US is their biggest customer.
Arvind Sanger from Geosphere Capital points out that, unlike China, India doesn't have much leverage in these talks and could really feel the pinch if these tariffs go through.
Sanger suggests India needs to bridge the gap
Sanger also notes there's a gap between India's "growth story" and what the numbers actually show—like earnings and sales.
He suggests the government might need to spend more to boost sectors like consumption and infrastructure, even if it means running a higher deficit.
Plus, with the rupee getting weaker and foreign investors pulling money out, there's more pressure for policies that keep growth steady at home.