'Dadagiri Karne Se...' D-Street Expert's Advice For India-US Trade Deal Negotiators

The India-US trade deal is the word on the Street just days before the Aug. 1 deadline when US tariffs will kick in for most nations. The world's largest economy, over the last few days, has signed trade deals with several major countries, including Japan and most recently, the European Union (EU) bloc.

Last week, the Ministry of External Affairs (MEA) said India and the US are working towards finalising the “first tranche of a mutually beneficial, multi-sector Bilateral Trade Agreement (BTA).” Finance Minister Nirmala Sitharaman also said that talks with the US 'are progressing well' and that India is focusing more towards a bilateral deal than a multilateral one.

In the backdrop of the global trade scenario, Prateek Agrawal, MD and CEO, Motilal Oswal Asset Management Company, Motilal Oswal Mutual Fund said in an exclusive interview to NDTV Profit that the India-US trade deal should be a 'win-win' for both sides. The D-Street expert highlighted that the trade deal will result in opening a large market for several sectors.

Prateek Agrawal of Motilal AMC believes that the India-US trade deal will open large opportunities for some markets in India. "In terms of global trade, India is currently the fourth-largest market in the world. However, if the US wants to export oil or tap the defence sector, then India might become the world's largest market."

"Similarly, there are some sectors where the US would be the largest market for India," he added. Talking about tariff rate range expected between 10-20%, Agrawal said, "If they want to put a 10% on everything, then we should also impose a tax on that."

Dropping a subtle advice for the Indian negotiating team with Donald Trump's administration, Agrawal said, "Dadagiri karne se nahi hota hai. It would be nice to have a deal which makes win-win on both sides. To have a deal just because one guy is stiffer just doesn't make sense."

Discussing the earnings growth for India Inc in the April-June quarter of FY26, the market expert said chemical stocks and defence pack have been a 'disappointment'. "On the other hand, renewable companies have done well in the first quarter," said Agrawal.

The asset management company also maintained a bearish view on large banks and the IT sector in Q1. Agrawal suggests investors to focus on sectors which offer 'longevity of growth'. "Work through themes like retail and pharma," he concluded.