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Tariff Costs Put New Pressure on U.S. Corporate Profits

Rising tariff expenses are beginning to weigh heavily on U.S. companies, prompting executives across multiple industries to warn that profit margins may tighten in the months ahead. Many firms had initially suggested they could manage the added costs through efficiency improvements or selective price increases, but that confidence is fading as import-related expenses continue to climb. Companies that rely on global supply chains are feeling the strain most acutely. Higher costs on imported materials and components are forcing difficult decisions: pass the increases on to consumers, risking weaker demand, or absorb the costs internally, which directly erodes profitability. For many businesses, neither option is attractive. Consumer-facing brands are finding it especially challenging to raise prices further, as shoppers show growing sensitivity to even modest increases. This resistance limits the ability of firms to offset tariff-driven expenses, creating a squeeze that is beginning t...
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A New Era in Global Trade: India and EU Seal Historic Pact

 

European Council President Antonio Costa, European Commission President Ursula von der Leyen and Indian Prime Minister Narendra Modi pose at Hyderabad House in New Delhi.


India and the European Union have concluded a landmark free trade agreement that is being hailed as one of the most significant economic deals either side has ever signed. After nearly twenty years of negotiations, the pact establishes a vast free‑trade corridor connecting two of the world’s largest democratic economies.

The agreement dramatically reduces tariffs, with India set to lower duties on the majority of European exports and the EU opening its market to almost all Indian goods over a phased period. The move is expected to stimulate major growth in bilateral trade, strengthen supply chains, and create new opportunities for industries ranging from textiles and agriculture to automobiles and high‑tech manufacturing.

For India, the deal offers expanded access to one of the world’s wealthiest consumer markets, boosting sectors that rely heavily on exports. European companies, meanwhile, gain a more predictable and open pathway into one of the fastest‑growing major economies.

Beyond economics, the pact signals a strategic deepening of ties at a time when global trade patterns are shifting. Both sides have emphasized that the agreement reflects a shared commitment to stability, openness, and long‑term partnership.

The deal now moves toward formal ratification, marking the beginning of what leaders describe as a transformative chapter in India‑EU relations.


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