Trump's digital tax warning: Task cut out for US tech giants in India

Tech giants navigate evolving trade tensions as India maintains commitment to a balanced regulatory approach

India faces a complex balancing act as US President Donald Trump threatens new tariffs and export restrictions against countries with digital taxes, which may potentially affect American tech giants that have made the country a cornerstone of their global operations, according to industry experts.

 

Though India recently scrapped its digital services tax to align with global standards, the broader threat of US trade retaliation could complicate the operational strategies of American tech firms that rely on India for everything from customer growth to artificial intelligence development, according to the experts.

 

“The crux of Trump's statement lies in the tension between