News

India-US interim trade deal: Big gain for chemical stocksThe US accounts for 20% of India's annual chemical exports worth $60 billion. While the two sides have issued a joint statement, the trade deal has not been signed yet. The new tariff of 18% will be applicable only after the pact is signed officially.By CNBCTV18February 7, 2026, 9:35:58 AM IST (Updated)1 Min ReadIndia's latest interim trade agreement with the US cuts the tariff on Indian chemical exports from 50% to 18%. Indian companies gain from both lower duties and an added advantage over Chinese competitors who face twice as much duty on their products shipped to the US.

Emerging MarketUS TariffSouth Africa30%Thailand19%Philippines19%Malaysia19%Mexico25%China47.5%South Korea25%Brazil50%Indonesia19%India18%

However, it's important to note that the new tariff of 18% will be applicable only after the pact is signed officially. So far, the two countries have issued a joint statement, but the agreement has not been signed.

Some of the stocks to watch out will be Aarti Industries, Navin Fluorine International, Gujarat Fluorochemicals, Laxmi Organic Industries, Vinati Organics, and SRF Ltd.

For instance, about 40% of Aarti Industries' exports to the US were taxed at the highest rate i.e. 50%, shaving off a significant portion of the profits, CEO Suyog Kotecha shared last week.

Axis Direct, a Mumbai-based broking firm,  expects a 20–25% recovery in export volumes of specialty chemicals from India to the US, which currently accounts for a fifth of India's $6 billion annual chemical exports.

: India-US interim trade agreement: Top highlightsContinue ReadingFirst Published: Feb 7, 2026 9:17 AM ISTTagschemical stocksIndia-US trade dealshare market today