Archive · 26 Jan 2026
US Tariffs Impact Indian Cable and Telecom Exports
Indian companies that make cables and internet equipment are having a hard time selling their products to the United States because of high taxes called tariffs.
These tariffs, which can be as high as 50%, make their products more expensive in the US market.
This is hurting their profits and making it harder for them to sell as much as they used to.
Some companies are trying to make more of their products in the US to avoid these taxes, but it's not easy.
The US is building a lot of new data centers and expanding internet access, which could be a big opportunity for these Indian companies if the tariffs weren't in the way.
Some people think that a trade deal between India and the US could help lower these tariffs and make things better for the Indian companies.
US tariffs are significantly impacting Indian cable and telecom equipment makers' exports and margins.
Sterlite Technologies reported a 760 bps reduction in EBITDA margins due to US tariffs in Q3 FY26.
HFCL has minimized tariff impact through US court decisions and customs rulings.
Polycab and RR Kabel have seen declines in US exports due to elevated tariffs.
Companies are exploring strategies like local US production and diversifying export markets to mitigate tariff impacts.
- Who
- Indian cable and telecom equipment makers (Sterlite Technologies, HFCL, Polycab, Havells India, RR Kabel)
- What
- US tariffs are impacting their exports and margins
- When
- Since the imposition of tariffs by President Donald Trump, with recent impacts noted in Q3 FY26
- Where
- United States market, particularly in data center and broadband infrastructure
- Why
- To protect domestic industries and potentially as a trade negotiation tactic
- Companies Affected
- Sterlite Technologies, HFCL, Polycab, Havells India, RR Kabel
- Tariff Rates
- Up to 50% on various goods
- STL Margin Impact
- 760 bps reduction in Q3 FY26
- US Market Share for STL
- 36% in current fiscal year
- Polycab International Sales (FY25)
- ₹1,345 crore (6% of turnover)
- Havells International Revenue (FY25)
- 3.7% of overall revenue
- BEAD Program Funding
- $42.45 billion for broadband expansion