Trump tariffs points (3/n)

Impact on the stock market Before starting, please note: this is NOT stock recommendation.

US has asked the EU to take care of their own defense budgets. Additionally, US is very serious to improve their ship building capability for defense & trade. Currently China alone manufacturers 50% + of all ships produced globally. So China can choke the global trade at its will. To avoid this, both US & EU want to get into Ship building & defense MFG. But his will not happen overnight. So they might move to korea & japan for this, as they have better infra & tech for defense & ship MFG. However these countries too don't have manpower to mfg rapidly. So very soon these orders will start flowing to indian subcontractors. So I am thinking that Indian companies involved in ship MFG & defense will be good opportunities. Auto ancillary is one area which can complement the defense MFG pressure. So auto ancillary companies too will be big beneficiary. Chemical MFG companies who are into defense support will get the benefit

As I mentioned, India will fast track bilateral agreements. Along with MFg export, India will focus more on agricultural goods exports. e.g. India already has trade agreement with australia & started exporting agro goods under zero tariff, from this year. So companies which are into agro exports & These goods have to match the stringent food regulations in US, EU & australia. So chemical companies into high quality pesticides or fertilizers will get benefits.

Trump is not afraid of climate change. So any goods manufactured in India using non renewable sources of energy won't face much problems in exports. So companies producing energy using non renewable sources too will be revenue generating for next decade.

Will post abt IT in next.