📍 At AI Summit, Trump lashes out at Google, Microsoft for overseas hiring and Chinese manufacturing; India’s IT future could feel ripple effects
By Economy India Bureau | July 23, 2025 | Washington D.C./New Delhi
🔴 Trump’s Direct Message: ‘Stop Outsourcing to India’
Former US President and 2024 Republican frontrunner Donald J. Trump made a scathing attack on American tech giants during the AI Summit held in Washington D.C. on July 22. In a fiery speech, he warned corporations like Google, Microsoft, and Apple to stop taking advantage of American liberties while outsourcing jobs to India and setting up manufacturing plants in China.
“These tech giants use our freedom to grow, but their factories are in China and their employees are in India. This is not in America’s interest,” said Trump.
🇺🇸 America First – Again?
Trump’s remarks signal a return to his “America First” policy focus that shaped his 2016 and 2020 presidential campaigns. This time, his target was more specific — the hiring practices of top US-based technology companies.
🔍 Highlights of Trump’s Statement
- 🔸 India-specific criticism: Trump explicitly mentioned India as the country where “most of the hiring” is taking place.
- 🔸 China manufacturing slammed: He blamed companies for shifting production to Chinese factories.
- 🔸 Call for job localization: Urged Google and Microsoft to “give jobs to Americans first.”
- 🔸 Condemnation of Globalism: Trump attacked the “globalist mindset” of corporate America.
🏢 Targeting Google, Microsoft, Apple
Trump claimed that these companies benefit from American tax breaks and policy freedoms, but fail to return value to domestic job markets. He cited:
- Google’s engineering operations in Bengaluru and Hyderabad
- Microsoft’s India Development Center (IDC) with over 8,000 employees
- Apple’s expanding production base in Tamil Nadu
📊 Data Snapshot – India’s Role in US Tech Hiring
India has become a global hub for backend engineering, customer service, and AI research:
| Metric | Value |
|---|---|
| Indian H-1B Visa Share (2024) | 74% |
| Estimated Indian Employees in US Tech | Over 4 lakh (400,000) |
| India’s IT Sector Worth | $250 Billion+ |
| Major Indian cities affected | Bengaluru, Hyderabad, Pune, Noida |
🔁 Flashback: Trump’s India Strategy (2017–2020)
During his previous term, Trump had:
- ⛔ Restricted H-1B visa quotas and tightened eligibility
- 🔍 Introduced “Buy American, Hire American” executive orders
- 📉 Caused temporary drop in Indian tech hiring between 2018–19
📦 Apple Also in Crosshairs
This isn’t the first time Trump has criticized offshoring. In May 2025, he lashed out at Apple CEO Tim Cook, threatening a 25% import tariff if iPhones continue to be assembled in India.
“If you’re selling in America, you better make them in America,” he said, referencing Apple’s Chennai-based Foxconn plants.
💬 US Tech Companies Remain Silent
So far, none of the mentioned firms — Google, Microsoft, or Apple — have responded officially to Trump’s latest statement. However, industry insiders suggest these companies are cautious about political narratives, especially as the US elections draw near.
🇮🇳 What It Means for India
If these remarks translate into restrictive policies, India’s fast-growing IT sector could face hurdles:
- 🚫 Slower hiring of Indian talent by US firms
- 📉 Delay or reduction in offshoring contracts
- 💼 Pressure on Indian firms like TCS, Infosys, Wipro
- 💰 Impact on India’s tech-driven export economy
🔎 Expert Reactions
Nandan Kapoor, senior analyst at TechPolis Consulting, told Economy India:
“This is not a policy change yet — but it is a strong political signal. If Trump wins, Indian outsourcing will be hit.”
Ritika Desai, professor of global trade at Delhi University, added:
“These statements are populist and aimed at voters, but they can still sway corporate strategies under pressure.”
🌎 Global Response
While Indian policymakers remained officially silent, the Indian diaspora in the U.S. expressed concern over social media. Global HR leaders worry that rising protectionist rhetoric could disrupt global hiring chains.
🧭 What Lies Ahead?
As Trump’s election campaign intensifies:
- 🗳️ His speeches may grow more aggressive
- 🛃 Immigration and work visa debates will heat up
- 🧳 Indian tech professionals might explore EU, Canada, or Australia
- 📣 Indian government may have to lobby more strongly with U.S. policymakers
📢 Uncertain Times Ahead
Trump’s latest tirade against Indian hiring is not just political theater — it reflects growing tension between nationalist economics and global corporate strategy. For India’s tech economy, this could signal a shift in the tide, demanding recalibration of strategies from both government and industry.
(Economy India)
