US - India Trade Deal beneficiaries : 2nd Feb 2026

 India and the US have inked the trade deal, with Washington slashing the reciprocal tariffs with " immediate effect". Thanks to the deal India now faces the lowest US tariffs among all EMs.

With the tariff burden now lower, sectors such as textiles, seafood, auto ancillaries, chemicals and select consumer companies with significant exposure to the US are likely to be the key beneficiaries.  

Earlier, steep tariffs of up to 50% had come into effect from August 27, creating cost pressures and dampening demand for Indian goods in the US market. With the tariff burden now lower, companies with significant exposure to the US are expected to see relief in margins, improved competitiveness and better order visibility.

Sectors and companies in focus

Textiles sector will be the highest beneficiary for the landmark pact as the US accounts for nearly 28% of India's total textile exports, making it the single largest destination for Indian textile manufacturers. More than half of India's textile and apparel imports are linked to US cotton.

Textile & Garment Stocks With High US Exposure:

Indo Count Industries – 70%

Kitex – 70%

Gokaldas Exports – 67%

Pearl Global – 64%

Welspun India – 61%

Himatsingka Seide – 60%

Trident – 28%

Vardhman Textiles – 25%

SP Apparels – 22%

Arvind – 14%

KPR Mills – 9%

Companies with higher US revenue exposure are likely to see faster volume recovery and better pricing power as tariff pressures ease.

The seafood sector is another area that could benefit meaningfully. The US remains a critical export market for Indian seafood companies, particularly for shrimp and frozen food products.

Seafood Stocks with US Revenue Exposure

Avanti Feeds – 14%

Apec Frozen Foods – 63%

Waterbase – 40%

Companies with a higher dependence on the US market could see a sharper improvement in earnings visibility.

Auto component makers with a strong presence in the US market are also expected to benefit. Lower tariffs can help sustain order inflows from global OEMs, improve margins and strengthen India's position as a cost-efficient manufacturing hub.

Auto & Auto Ancillary Stocks with high US exposure:

Sona BLW – 40%

Ramkrishna Forging – 27%

Bharat Forge – 25%

Tata Motors – 23%

Samvardhana Motherson – 18%

Balkrishna Tyres – 18%

Sanmar/ Sansera Engineering – 9%

Apollo Tyres – 3%

The chemicals sector, especially specialty and agrochemical players, stands to gain from lower tariffs through improved export competitiveness and margin expansion. The US is a key end-market for several Indian chemical manufacturers.

Chemical Stocks with Notable US Exposure

UPL – 20–25%

SRF – 20%

Jubilant Ingrevia – 9%

Other chemical players that could benefit include Aarti Industries, PI Industries, Atul, Navin Fluorine, Deepak Nitrite, Vinati Organics, Alkyl Amines Chemicals and Gujarat Fluorochemicals.

Select consumer companies with exposure to the US market may also see incremental gains, particularly those exporting packaged food and rice products.

Consumer Stocks with US Revenue Exposure:

LT Foods – 39%

KRBL – 10%

Tata Consumer Products – 12%