Sensex, Nifty Slide as U.S. Tariffs on India Reach 50%

India’s stock market opened lower on Wednesday after the U.S. imposed its steepest tariffs yet on Indian goods, rattling investor sentiment.

At 9:45 am, the S&P BSE Sensex had dropped 467 points (0.56%) to 80,323.75, while the NSE Nifty 50 slipped 0.56% to 24,574. Losses were broad-based, with 14 of 16 sectoral indices in the red. The small-cap and mid-cap indices were down 0.2% and 0.1%, respectively.

Analysts said the additional 25% levy on Indian exports—raising overall U.S. tariffs to 50%—was driving the sell-off. “This measure has already triggered a sharp market reaction and will likely keep pressure in the near term,” said Santosh Meena, head of research at Swastika Investmart. He added that export-oriented sectors like textiles, gems and jewellery, seafood, chemicals, and auto components face the most risk.

Foreign portfolio investors have pulled $2.66 billion out of Indian equities so far in August, the sharpest monthly outflow since February, amid tariff jitters and weak corporate earnings. Meanwhile, oil prices eased as traders assessed shifting crude flows with India facing U.S. penalties for importing Russian oil.