In India, Trump's Tariffs Spark Calls to Boycott American Goods 

A person sits outside a McDonald's restaurant in Mumbai, India, February 26, 2024. (Reuters)
A person sits outside a McDonald's restaurant in Mumbai, India, February 26, 2024. (Reuters)
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In India, Trump's Tariffs Spark Calls to Boycott American Goods 

A person sits outside a McDonald's restaurant in Mumbai, India, February 26, 2024. (Reuters)
A person sits outside a McDonald's restaurant in Mumbai, India, February 26, 2024. (Reuters)

From McDonald's and Coca-Cola to Amazon and Apple, US-based multinationals are facing calls for a boycott in India as business executives and Prime Minister Narendra Modi's supporters stoke anti-American sentiment to protest against US tariffs.

India, the world's most populous nation, is a key market for American brands that have rapidly expanded to target a growing base of affluent consumers, many of whom remain infatuated with international labels seen as symbols of moving up in life.

India, for example, is the biggest market by users for Meta's WhatsApp and Domino's has more restaurants than any other brand in the country. Beverages like Pepsi and Coca-Cola often dominate store shelves, and people still queue up when a new Apple store opens or a Starbucks cafe doles out discounts.

Although there was no immediate indication of sales being hit, there's a growing chorus both on social media and offline to buy local and ditch American products after Donald Trump imposed a 50% tariff on goods from India, rattling exporters and damaging ties between New Delhi and Washington.

McDonald's, Coca-Cola, Amazon and Apple did not immediately respond to Reuters queries.

Manish Chowdhary, co-founder of India's Wow Skin Science, took to LinkedIn with a video message urging support for farmers and startups to make "Made in India" a "global obsession," and to learn from South Korea whose food and beauty products are famous worldwide.

"We have lined up for products from thousands of miles away. We have proudly spent on brands that we don't own, while our own makers fight for attention in their own country," he said.

Rahm Shastry, CEO of India's DriveU, which provides a car driver on call service, wrote on LinkedIn: "India should have its own home-grown Twitter/Google/YouTube/WhatsApp/FB -- like China has."

To be fair, Indian retail companies give foreign brands like Starbucks stiff competition in the domestic market, but going global has been a challenge. Indian IT services firms, however, have become deeply entrenched in the global economy, with the likes of TCS and Infosys providing software solutions to clients world over.

On Sunday, Modi made a "special appeal" for becoming self-reliant, telling a gathering in Bengaluru that Indian technology companies made products for the world but "now is the time for us to give more priority to India's needs."

He did not name any company.

'DON'T DRAG MY MCPUFF INTO IT'

Even as anti-American protests simmer, Tesla launched its second showroom in India in New Delhi, with Monday's opening attended by Indian commerce ministry officials and US embassy officials.

The Swadeshi Jagran Manch group, which is linked to Modi's Bharatiya Janata Party, took out small public rallies across India on Sunday, urging people to boycott American brands.

"People are now looking at Indian products. It will take some time to fructify," Ashwani Mahajan, the group's co-convenor, told Reuters. "This is a call for nationalism, patriotism."

He also shared with Reuters a table his group is circulating on WhatsApp, listing Indian brands of bath soaps, toothpaste and cold drinks that people could choose over foreign ones.

On social media, one of the group's campaigns is a graphic titled "Boycott foreign food chains", with logos of McDonald's and many other restaurant brands.

In Uttar Pradesh, Rajat Gupta, 37, who was dining at a McDonald's in Lucknow on Monday, said he wasn't concerned about the tariff protests and simply enjoyed the 49-rupee ($0.55) coffee he considered good value for money.

"Tariffs are a matter of diplomacy and my McPuff, coffee should not be dragged into it," he said.



Lucid Group to Asharq Al-Awsat: Saudi EV Market Gaining Strong Momentum

Lucid studio in Al Khobar city. (Lucid)
Lucid studio in Al Khobar city. (Lucid)
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Lucid Group to Asharq Al-Awsat: Saudi EV Market Gaining Strong Momentum

Lucid studio in Al Khobar city. (Lucid)
Lucid studio in Al Khobar city. (Lucid)

Current geopolitical tensions and disruptions in global oil markets are driving a sharp rise in electric vehicle sales across much of the world.

Brent crude’s rise above $120 a barrel has prompted consumers to rethink their purchasing habits, turning to electric vehicles as a more stable and efficient alternative to fuel price volatility.

In March, during the first four weeks since the start of the war on Iran, major European markets, France, Germany, and the United Kingdom, saw purchases of about 206,200 electric vehicles, up 44% year on year. Sales doubled in South Korea, while Italy recorded 67% growth, according to Bloomberg data.

President of Lucid Motors in the Middle East Faisal Sultan told Asharq Al-Awsat that Saudi Arabia’s electric vehicle market, “although still in its early stages, is witnessing strong and accelerating momentum.”

He said Lucid continues to expand its presence in the Kingdom, alongside gradual growth plans in other Gulf Cooperation Council countries, as the market takes shape quickly, driven by government support, expanding charging infrastructure and growing consumer awareness of the importance of shifting toward sustainable transport.

Sultan said EV adoption continues to rise globally and regionally, including in Saudi Arabia, where the sector’s operating foundations are being strengthened. Structural drivers supporting the shift include Vision 2030 and the Saudi Green Initiative.

This path is backed by a clear national commitment to building an integrated mobility ecosystem, including major investments in local manufacturing and the expansion of charging infrastructure, providing a solid base for long-term demand, he remarked.

The shift toward electric vehicles is not only tied to demand dynamics, but also to changing consumer awareness of “the long-term value of owning these vehicles, including total cost of ownership and the ease of home charging,” he added.

Lucid has installed more than 100 AC chargers across the Kingdom, available free of charge, and continues to expand fast-charging services, he revealed.

Strategic investments

Against this backdrop, Lucid raised its total liquidity to about $4.7 billion, giving it financial runway into the second half of 2027, according to financial results announced on Monday.

The company said the capital raise included $550 million in convertible preferred stock from Ayar Third Investment Company, a Saudi Public Investment Fund affiliate, and a $200 million equity investment from Uber, increasing Uber’s total investment in Lucid to $500 million.

The sovereign-backed support comes as Lucid reported quarterly revenue of $282.5 million, below analysts’ estimates, due to an unexpected supplier-related technical issue involving seats in the Gravity model.

The issue temporarily disrupted deliveries before momentum resumed in March, while net losses stood at about $1.13 billion.

Production growth in Saudi Arabia

Operationally in Saudi Arabia, Lucid’s first-quarter 2025 results showed production of 2,212 vehicles across its plants in the Kingdom, in addition to more than 600 vehicles in transit. The company delivered 3,109 vehicles during the same period, up 58.1% from the corresponding period in 2024.

Revenue reached $235 million, while GAAP net loss stood at about $0.20 per share, compared with an adjusted loss of $0.24 per share. The company ended the first quarter with total liquidity of $5.76 billion.

Operational challenges

On deliveries, Lucid recorded about 3,093 vehicle deliveries as of March 31, compared with production of nearly 5,500 units, reflecting a temporary operational gap between production and deliveries.

Lucid said Gravity deliveries were disrupted for 29 days because of a supplier quality issue with second-row seats, which has since been addressed.

Sultan attributed the gap to a temporary disruption in one of the supply lines for the Lucid Gravity, caused by the second-row seat quality issue, and stressed that the problem had been fully contained and that operations had resumed normally.

He told Asharq Al-Awsat that supply chains remain dynamic, and that dealing with such challenges has become an essential part of developing the automotive business.

He added that Lucid’s strategy is based on strengthening resilience and adaptability by diversifying global supply sources, reducing costs and relying on a flexible, vertically integrated platform capable of responding to supply chain fluctuations.

He said the company faced three consecutive industry-wide crises last year involving magnetic materials, aluminum and semiconductors, and handled them quickly thanks to the flexibility of its engineering teams and manufacturing capabilities.

Sultan stressed that these challenges were operational and supply-chain related, and did not reflect weaker demand. Rather, they came within a framework of proactive management aimed at strengthening operational stability and ensuring continuity in production and deliveries.


G7 Trade Talks Target Critical Minerals as US-EU Tariff Rift Strains Unity

(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
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G7 Trade Talks Target Critical Minerals as US-EU Tariff Rift Strains Unity

(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL

Group of Seven trade ministers meeting in Paris on Wednesday sought common ground on securing critical mineral supplies that are dominated by China, but fresh US tariff threats against European Union-made cars risked straining unity.

France wants critical minerals supplies to be among the most concrete deliverables during its G7 presidency as ministers prepare for a leaders' summit in mid-June, Foreign Trade Minister Nicolas Forissier ‌said as ‌he arrived for talks.

"I believe we will ‌make ⁠very concrete progress ⁠on rare earths and critical minerals, securing our supply chains and ensuring we are not held hostage by certain countries," he said.

Officials involved in the discussions said there was broad agreement on the need to reduce reliance on China, but significant differences remained about how to do so, said Reuters.

G7 unity is also being ⁠tested by comments from US President Donald Trump, who ‌said Washington would raise tariffs on ‌EU-made cars to 25% from 15%, arguing that Brussels was ‌not complying with a trade deal that was agreed upon ‌in Turnberry, Scotland, last year.

German Economy Minister Katherina Reiche said that she was in intensive talks with US officials over the tariffs. Germany's export-dependent automotive sector has already been under strain from weakening demand in China, ‌slower global growth and higher input and labor costs.

EU Trade Commissioner Maros Sefcovic said he and ⁠US Trade Representative ⁠Jamieson Greer had discussed the Turnberry agreement at a meeting in Paris on Tuesday and that he would be heading to the European Parliament, where negotiations on EU legislation related to the trade deal will take place later on Wednesday.

"We both clearly concluded that it's important to respect the deal from Turnberry from both sides, so we have to deliver on what was promised in Scotland," Sefcovic said.

The trade ministers are also expected to discuss industrial overcapacity - China being the main source - and reform of the World Trade Organization, Forissier said.


Gulf Markets Higher as US-Iran Ceasefire Holds

An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
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Gulf Markets Higher as US-Iran Ceasefire Holds

An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)

Saudi Arabia's ⁠benchmark stock ⁠index rose 0.4% on Wednesday, with most constituents trading in positive territory. Gains were led by information technology, materials and healthcare stocks.

Saudi Arabian Mining Co added 4.5%, while Arabian Mills for Food Products surged 8% after reporting a 32% rise in first-quarter net profit.

US President Donald Trump said he would briefly pause an operation escorting ships through the Strait of Hormuz, a key waterway that carries about a fifth of global oil supplies and has been blockaded by Iran since late February, triggering a global energy crisis.

So the fragile US-Iran ceasefire held firm despite a fresh flare-up in tensions, allowing investors to turn their attention back to corporate earnings.

Dubai's benchmark stock index rose 1.5%, rebounding from losses in the previous session.

Among individual stocks, blue-chip developer Emaar Properties gained 1.7%, while Dubai's largest lender, Emirates NBD, added 1.5%.

The Abu Dhabi benchmark index advanced 0.5%, with most constituents trading higher. ⁠Gains were led by utilities, healthcare and technology shares.

Presight AI Holding jumped 5%, while Alpha Dhabi climbed 2.3%.

The Qatari benchmark index edged up 0.3%, as most stocks traded higher. Industries Qatar gained 0.7%, while Qatar Fuel Co added 0.6%.