India’s Growth Surprise May Fade With Trump’s 50% Tariff Hit

India’s surprise pickup in economic growth last quarter comes with rising concern that momentum may fade as US President Donald Trump’s 50% tariffs hit the nation.

Gross domestic product growth accelerated 7.8% in the three months to June, the fastest pace in more than a year and well above economists’ forecasts in a Bloomberg survey. The performance was driven by stronger manufacturing and construction output as well as a pick up in government spending and services.

At a press conference on the quarterly data, India’s Chief Economic Adviser V. Anantha Nageswaran said he is sticking with the government’s ...