Hello,

Not many want Donald Trump’s favourite word in their dictionary.

After the US President put tariffs on almost everything entering the country, American stock indices tumbled, with the Nasdaq plunging 5.4% and the Dow down 3.5% at 10:30 am EST.

The fear of an economic slowdown, or even recession, is widespread. The pan-European benchmark Stoxx 600 sank over 2%, while Japan’s Nikkei 225 slumped 2.7% to its lowest level since August.

Is India faring any better?

The Sensex was down more than 300 points on Thursday, but the nation, despite being levied a 26% import tariff, has a competitive advantage. 

India’s pharmaceutical sector, which exported more than $8.7 billion of products to the US in FY24 (according to Jeffries), was exempted from the reciprocal tariff move. Also, as global supply chains realign, India stands to gain if it improves logistics and ensures policy stability.

“We should not lose sight of these strengths in the middle of what the newspaper headlines keep screaming about uncertainties,” advised Chief Economic Advisor V Anantha Nageswaran at Startup Mahakumbh in Delhi.

ICYMI: At Startup Mahakumbh, Union Minister Piyush Goyal compared Indian and Chinese startups, and it raised some eyebrows.

One can’t ignore the tariff’s short-term pain.

They are expected to dampen the growth prospects of IT companies in some key sectors. Also, American companies like Apple, which has based 15% of its production in India, may have a rethink, affecting jobs here.

The dog days aren’t over. 

In today’s newsletter, we will talk about 

Here’s your trivia for today: In 1792, which country became the first in Europe to abolish the slave trade?

Trump’s reciprocal tariffs on India could give the country’s manufacturing sector a competitive edge, according to venture capital investors. Startups manufacturing in the biotechnology, electronics, textiles, chemicals, pharmaceuticals, aviation, and automotive components spaces are likely to benefit the most, according to these VCs. 

However, the entire startup ecosystem, including the government, investors, and other stakeholders, should move fast to capitalise on the opportunity, VCs said.

Key takeaways:

Startup: Scapia

Amount: $40M

Round: Series B

Startup: Pratilipi

Amount: $20M

Round: Series E

Startup: Sweet Karam Coffee

Amount: $8M

Round: Series A

In the era of short videos and shorter attention spans, brands have been doubling down on acing their digital advertisements game. However, the production costs can rack up to thousands of dollars per minute after factoring in hiring actors, booking locations, and post-production.

Hypergro.ai , with its latest upgrade, allows users to create hyper-realistic commercials with a 90% reduction in time and cost, which helps make high-production-value content accessible at scale.

AI video:

The development of an AI model in India has been the hottest debate of 2025. While several companies are racing to ride the new wave, SaaS company Zoho Corp has placed its latest bet with the launch of two foundational models, which will go live before the year-end. 

In an interview with YourStory, CEO Shaliesh Davey discussed his leadership style, the company’s AI strategy, and its next big bet on indigenous foundational models.

Into the future:

In 1792, which country became the first in Europe to abolish the slave trade?

Answer: Denmark.

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