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Amid rising global tariff tensions and geopolitical noise,\u00a0Nadir Godrej, chairperson of\u00a0Godrej Industries Group, told Business Today TV<\/em> that while tariffs have affected parts of Indian industry,\u00a0\u201cthe economy as a whole has hardly felt it\u201d, with exports to the US largely offset by increased trade with other countries. Godrej said these shifts have brought markets closer together and expressed confidence that India can overcome such challenges.\u00a0<\/p> Speaking at the World Economic Forum\u2019s 2026 annual meeting in Davos, he highlighted the disconnect between government\u2011level tensions and company\u2011level investment, noting that global firms like Google, Amazon and Microsoft continue committing significant capital to India\u00a0despite geopolitical headwinds.\u00a0<\/p> On the evolution of artificial intelligence within the Godrej group, Godrej said AI initiatives are underway across businesses, resulting in early productivity gains. Beyond cost savings, he stressed AI should support growth and safeguard employment \u2014 a strategy he contrasted with layoffs seen in other economies. Initiatives now include connecting with smallholder farmers through satellite imaging, soil\u00a0testing\u00a0and weather forecasting, which have boosted productivity and encouraged growers to pursue higher\u2011income crops like oil palm.\u00a0<\/p> Turning to India\u2019s resilient growth trajectory, he said recent tax cuts, particularly in goods and services tax (GST), are\u00a0\u201cpanning out well\u201d\u00a0and could further fuel domestic expansion if structured to protect budgetary health. A low inflation environment, he added, could allow for future interest\u2011rate cuts to support growth, though he cautioned that a weak rupee might elevate import costs for commodities over time.\u00a0<\/p> Addressing broader policy reforms, Godrej observed that the new labour code might pose initial compliance challenges, especially for small and gig\u2011economy businesses, but he saw limited risk for larger firms and potential long\u2011term benefits from greater workforce formalization.<\/p> On trade agreements, he called the long\u2011pending India\u2011US deal\u00a0\u201csurprising\u201d\u00a0in its delay, even as Indian exports have diversified. He said a potential agreement with the European Union could boost two\u2011way trade and investment, while past deals with smaller economies were less impactful due to the size of those markets.\u00a0<\/p> Wrapping up, Godrej touched on geopolitical issues shaping the 2026 forum \u2014 including the conversation around Greenland and global leadership exchanges \u2014 and called for constructive dialogue to ease international tensions.<\/p>