Zoho’s Sridhar Vembu warns of higher inflation after Donald Trump’s reciprocal tariffs threat

Zoho Corporation’s co-founder Sridhar Vembu on Sunday raised concerns of higher inflation in the coming months as India is likely to increase imports from the United States, following President Donald Trump’s reciprocal tariffs threat.

India will also have to find ways to cut consumer goods imports from China and increase domestic production, said Vembu.

In a post on social media platform X, Sridhar Vembu said: “As a slightly oversimplified mental model, India exports software services to America and imports consumer goods from China. The surplus with America is more than matched by the deficit with China. Now India will (have to) import more iPhones, GPUs, LPG, nuclear plants, fighter jets, whiskey and so on from America to balance the bilateral trad

e.”