Trump regime posing risk to business: Wipro

US imposing tough restrictions on free trade leading to significant rise in tariffs on goods imported into America

New Delhi : IT major Wipro Ltd has listed US President Donald Trump’s policies as a risk factor that could impact its business, citing promotion of "greater restrictions on free trade" among key worrying points.

The Bengaluru-based firm which earned 52 per cent of its IT services revenue from the Americas including the US, said significant developments stemming from the US presidential election could have a material adverse effect on its business.
As a candidate, Trump and his administration had expressed support for policies impacting existing trade agreements, like North America Free trade agreement (NAFTA), and proposed trade agreements, Wipro said in an SEC filing.

In its annual report for the fiscal ended March 31, 2017, filed with the market regulator, Wipro further said “Trump administration has been promoting greater restrictions on free trade generally and significant increases on tariffs on goods imported into the United States.”

It further added: “Changes in US social, political, regulatory and economic conditions or in laws and policies governing foreign trade, manufacturing, development and investment in the territories and countries where we currently operate could adversely affect our business.”

The company had reported net sales of Rs 55,420.9 crore in the fiscal ended March 31, 2017.After assuming office last year, Trump has taken several steps, including H1B visa restrictions, that raised concerns in the Indian IT sector.