Business events that shaped India in 2025

President Donald Trump announced tariffs on Indian imports in July 2025, citing geopolitical alignments. The U.S. trade policy towards India saw multiple reversals throughout the year. In November 2025, the Union Government notified all four Labour Codes, ushering in major reforms in labor laws. The Lok Sabha passed a Bill that proposes to increase Foreign Direct Investment (FDI) in the insurance sector from 74% to 100%. The Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) lowered the repo rate four times in 2025, impacting business lending. The HSBC India Manufacturing Purchasing Managers’ Index (PMI) rose to a 17-year high in August 2025, while the HSBC India Services PMI climbed to a 15-year high in the same month.