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Wall Street JournalEN
From Levi's To Dana: The US Companies Quietly Cheering Trump's 50% Tariffs On India
A 50% tariff on Indian goods could shuffle the competitive deck in several U.S. industries, giving domestic players a rare advantage. From Hanesbrands Inc. (NYSE:HBI) to Signet Jewelers Ltd (NYSE:SIG) to BorgWarner Inc. (NYSE:BWA), companies that typically fight for margin against cheaper Indian imports may suddenly find themselves holding the upper hand. However, while the trade math appears enticing, the real-world impact could be more complicated.
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Textiles Get A Lift
India is a powerhouse in textiles, so steep tariffs would quickly ripple through the apparel market. Domestic brands like Hanesbrands, with its U.S. mills, could benefit from reduced competition on low-cost basics. Levi Strauss & Co (NYSE:LEVI), with its diversified sourcing, may also gain breathing room against Indian-made apparel. Even luxury player Tapestry Inc (NYSE:TPR) could see rivals tied to Indian supply chains stumble, boosting its Coach and Kate Spade lines.
Shining Bright In Jewelry
The diamond-polishing trade is dominated by India, but tariffs could redirect the sparkle toward American retailers. Signet Jewelers—the force behind Kay, Zales and Jared—might capture more demand as Indian imports become pricier.
Meanwhile, Brilliant Earth Group Inc (NASDAQ:BRLT), which specializes in lab-grown and ethically sourced stones, could find its alternative model suddenly more competitive against tariff-burdened imports.
Auto Parts Shake-Up
In engineering goods, tariffs could tilt the playing field in favor of U.S.-based suppliers. BorgWarner and Dana Inc (NYSE:DAN), both major auto component manufacturers with U.S. operations, may pick up share from Indian rivals. Aftermarket specialist Dorman Products Inc (NASDAQ:DORM) could also benefit, as its domestic manufacturing looks more attractive against rising import prices.
The Caveats
Of course, tariffs aren't free money. Global supply chains are flexible—companies may pivot sourcing to Vietnam or Bangladesh. Higher costs could also trickle down to consumers, denting demand. And India could strike back with retaliatory tariffs, squeezing U.S. exporters.
For now, though, the winners list looks clear: American brands in fashion, jewelry, and auto parts may find tariffs doing what years of competition rarely could—giving them an edge.
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