Tariff War Impact Report Date: 7th April 2025 | 1:30 PM Subject: India’s Resilient Sectors Amid Global Market Turmoil

Context: Global Panic, Local Opportunity An aggressive escalation in the US-initiated tariff war has rattled global markets. Equity indices across continents opened lower, triggering a wave of sell-offs led by fears of supply chain disruptions, inflationary pressure, and weakening global demand. While the reaction has been severe worldwide, not all economies and sectors are impacted equally. India, though facing sharp intraday declines, stands apart due to its strong domestic economic engine. While the Nifty and Sensex saw corrections today, the structural integrity of certain key Indian sectors remains intact. This report identifies those relatively insulated sectors, even as all constituent stocks trade in the red temporarily. Comparative Snapshot: Asian Markets on 7th April 2025 To understand India’s relative strength, it helps to compare performance across other key Asian economies amid the tariff escalation. Nifty 50 (India): Down ~4.3% Nikkei 225 (Japan): Down ~7.8% Shanghai Composite (China): Down ~7.3% KOSPI (South Korea): Down ~5.6% Observation: While all Asian markets are under pressure, India’s correction has been milder due to its lower export dependency, strong domestic consumption base, and less exposure to high-tech supply chains that dominate other Asian economies. Markets like Japan and Korea, which are deeply integrated into global electronics and automotive trade, are more vulnerable in this scenario. 1. FMCG – Fast Moving Consumer Goods The FMCG sector continues to be India’s most defensive play. With most revenues driven by local consumption and deep distribution networks, these companies are protected from global trade dynamics. Demand for essentials is non-cyclical and consistent. Despite being in the red, the long-term outlook remains robust. Key Stocks (All Red): Hindustan Unilever – -0.44% Dabur India – -3.28% ITC Ltd. – -2.38% Marico Ltd. – -2.46% continued in next part....