Shares of the domestic chemical companies slumped on Thursday after the United States announced reciprocal tariffs on multiple countries, including India.
The move is expected to impact Indian exports to the US, raising concerns over profitability and global competitiveness.
The US has imposed a 27 percent reciprocal tariff on India, significantly higher than the existing 3.5 percent import duty on chemical companies, which triggered a sharp sell-off.
Navin Fluorine, SRF, PI Industries and other chemical stocks came under heavy pressure as markets opened for the day.
Navin Fluorine hit an intraday low of Rs 3,955 on the NSE, plunging 6.86 percent. The stock settled 1.36 percent lower.
SRF also declined sharply, slipping 5.96 percent to Rs 2,803.75 before recovering some losses to trade at Rs 2,870, down 3.74 percent. The stock settled at 2.74 percent lower at Rs 2,900 per share.
Other chemical firms also faced selling pressure, with PI Industries and Gujarat Fluorochemicals shedding 1.47 percent and 2.31 percent, respectively.
Deepak Nitrite settled 1.27 percent lower at Rs 2,007.05 per share, while Tata Chemicals edged lower by 0.053 percent to Rs 851.05 per share.
The US has imposed higher tariffs on other key chemical-exporting nations, including China (34%), the European Union (20%), Japan (24%), and South Korea (25%). This places India in a relatively better position or at par with other global chemical exporters in terms of trade competitiveness.
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