Telugu NRIs fear uncertainty as Trump’s Tariffs threaten IT market collapse

Every city in the United States of America is home to Telugus from Telangana and Andhra Pradesh. Telugu is heard in the busy streets of Manhattan, America, as well as in Seattle. Such is the proliferation of Telugu Non-Resident Indians (NRIs) in the United States. Most of them work in the information technology (IT) sector. Though most Telugu people are well-settled in the USA. The new batch of working professionals who went to the USA in the last ten years are grappling with mounting anxiety following President Donald Trump’s recent imposition of tariffs on all countries.

Trump’s tariffs and recession

In a counterattack, all countries are also reimposing tariffs on US goods. Europe and China have done that, leading to the stock market crashing down in America. This situation has raised fears of an IT market collapse and a looming recession in the U.S.

Telugu diaspora, many of whom hail from Hyderabad, Telangana, and Andhra Pradesh, are fearing that their jobs and incomes might get affected.

Universities in Hyderabad, such as Osmania University, the University of Hyderabad, and Jawaharlal Nehru Technological University, along with institutions in Andhra Pradesh like Andhra University and GITAM, consistently rank among the top feeders of talent to the U.S. tech industry.

Students and professionals from these regions have long fueled the growth of companies like TCS, Infosys, and Wipro, which derive 60-80% of their revenue from the American market. 

Trump’s tariffs, aimed at addressing perceived trade imbalances, are seen as a direct threat to this ecosystem. These tariffs could increase the cost of outsourcing IT services to Indian firms, pushing U.S. companies to cut contracts or shift to local hiring. Telugu professionals fear job stability. A recession in the U.S. could wipe out years of savings and force many of these professionals to return home.

The economic ripple effects are already being felt. Financial giants like Goldman Sachs and JP Morgan have warned of a 60% chance of a U.S. recession if the tariffs persist, citing inflationary pressures and disrupted supply chains.

Panic situation

For Telugu NRIs, who often invest their U.S. earnings in Hyderabad’s booming real estate markets—like Kokapet, Gachibowli, and Narsingi—the stakes are even higher. Social media platforms are abuzz with posts talking about the current situation. The families of NRIs are equally on edge.

As the world’s largest economy teeters on the brink of uncertainty, the community that has long bridged Hyderabad and Silicon Valley finds itself at a crossroads, fearing a future where their American dreams could unravel.