US Tariffs Continue to Weigh on India, Other EMs

The series of tariffs announced by the US will have negative credit implications for debt issuers across emerging markets, particularly export-reliant companies, with broader trade uncertainty set to weigh on consumer, business and financial activities, Moody's Ratings said in a report on Tuesday.

- Rhik Kundu

Firms with significant exposure to US-bound tariffed goods face the most direct risks, the rating agency said in a report on tariffs in emerging markets. However, Moody's warned that a much larger pool of debt issuers will suffer indirectly through slowing economic growth, declining commodity prices, depreciating currencies and rising investor risk aversion.