US Tariffs Reset to 15%: Five Indian Exporters With the Most to Gain

US Tariffs Reset to 15%: Five Indian Exporters With the Most to Gain

The US Supreme Court delivered a surprise ruling on March 17 that resets tariffs on Indian goods to 15%, down from the elevated rates the Trump administration had imposed. In a separate development, the US also cut import duty on Indian textiles to 18%. For Indian companies that ship billions of rupees worth of goods to America each year, this is a material positive — even as reciprocal tariffs scheduled for April 2 keep the outlook uncertain.

We dug into company filings on NSE to find the Indian exporters with the heaviest US exposure — the ones whose bottom lines move most when tariff rates shift.

Welspun Living (WELSPUNLIV): 61% Revenue From North America

Welspun Living is arguably India's most US-dependent large-cap textile company. Per their FY23 annual report, North America accounts for 61% of total revenue, with the UK and Europe at 15% and India at just 14%.

The numbers bear this out. In their FY25 annual report, Welspun crossed the Rs 10,697 crore revenue milestone, an 8.9% year-on-year increase. Home textile exports grew by 10.8%, with the company noting "strong traction across the US, Europe, the UK, and other global markets." Their own brand Welhome expanded over 100% in the US market across online and offline channels in FY24, per their annual report.

In Q3 FY25, consolidated revenue hit Rs 25,277 million with an EBITDA margin of 12.6%. Welspun has also invested US$12.5 million in a fully automated pillow manufacturing unit in Ohio, USA — a bet that US market access will remain strong. A tariff cut from elevated levels to 15% directly protects this investment.

Sun Pharmaceutical Industries (SUNPHARMA): 31% Revenue From the US

Sun Pharma's US business generated Rs 162 billion in FY25, growing 5.8% year-on-year and accounting for approximately 31% of consolidated revenues, per their FY25 annual report. In FY24, the US market grew an even faster 13.4%.

What makes Sun Pharma's US exposure different from textiles is that it's increasingly driven by specialty products rather than price-sensitive generics. The company noted that "growth in the US has been driven by Specialty sales, with several products gaining sustained traction," while generics faced headwinds from compliance issues and competition. With tariffs resetting lower, the cost burden on their generic exports — which still compete partly on price — eases.

Dr. Reddy's Laboratories (DRREDDY): North America Growth Engine

Dr. Reddy's reported Q1 FY25 North America revenues of Rs 38.5 billion, a 20% year-on-year jump driven by "increase in volumes of our base business, contribution from new launches." The company had 79 generic filings pending with the USFDA as of September 2023, including 41 Para IV filings — a pipeline designed to capture market share as patents expire.

Lower tariffs reduce friction for this pipeline. While pharma has historically enjoyed relatively favorable trade treatment, any reduction in the overall tariff framework benefits companies shipping physical products at this scale.

Indo Count Industries (ICIL): Bed Sheet Exporter With US Subsidiary

Indo Count is one of India's largest bed sheet and home textile exporters, and it doubled down on US market access by acquiring the home textile business of GHCL Limited at Bhilad, Gujarat, and the specified assets of GraceHome Fashions LLC, GHCL's US subsidiary, in April 2022, per their quarterly filings.

The company also benefits from government export incentive schemes. Per their filings, Indo Count has claimed benefits under both the Rebate of State and Central Taxes and Levies (RoSCTL) and the Remission of Duties and Taxes on Exported Products (RoDTEP) schemes — Rs 49.99 crores in RoSCTL alone for eligible export sales in one period. Lower US tariffs, combined with these Indian government incentives, create a double tailwind for margins.

Trident Limited (TRIDENT): Diversified Textile and Paper Play

Trident offers a diversified angle on the tariff story. With both textile and paper segments, its export exposure is spread across product categories. In Q2 FY24, the company reported revenue from operations of Rs 17,611.8 million, and like Indo Count, Trident has recognized RoSCTL export benefits of Rs 1,190.5 million on standalone basis for eligible export sales, per their quarterly results.

Trident's scale — with a paid-up equity of Rs 5,096 million — means even modest tariff relief translates to meaningful absolute savings on its export volumes.

The Catch: April 2 Reciprocal Tariffs Still Loom

The 15% reset is welcome, but it may be temporary. The Trump administration has signaled reciprocal tariffs effective April 2, and India has delayed signing a bilateral trade deal amid what the government describes as a "new tariff framework." India has also told the WTO it may suspend trade concessions in response to US tariff moves. The government stated it is "working with industry to mitigate tariff impact."

For textile exporters in particular, the picture has an extra wrinkle: while duties on textiles were cut to 18%, a new Section 301 investigation into India and 15 other countries could introduce fresh barriers. The US textile duty reduction is positive, but the uncertainty premium has not gone away.

What Retail Investors Should Do

The tariff reset is a clear positive for high-US-exposure exporters, but with April 2 reciprocal tariffs approaching, treat this as a watchlist event rather than an all-clear signal. Companies like Welspun Living (61% North America revenue) and Sun Pharma (31% US revenue) have the most at stake. Watch for management commentary in the upcoming Q4 earnings season on how they are positioning for potential tariff escalation. If reciprocal tariffs come in lower than feared, these stocks have the most upside. If tariffs escalate, the same heavy US exposure becomes the biggest risk.

Data sourced from company filings on NSE via Xaro.