Shares of HCLTech $HCLTECH.NS experienced an 8% increase on Wednesday following the company's announcement of a robust revenue growth forecast. This optimistic outlook stands in stark contrast to the more cautious predictions made by larger competitors within the Indian IT sector, including Infosys $INFY and Wipro $WIPRO.NS. As the sector grapples with the looming potential for growth deceleration, largely due to U.S. tariff policies, HCLTech's optimistic projections have captured considerable attention.

In the midst of global economic shifts and rising geopolitical tensions, India's IT sector—boasting a market value of USD 283 billion—faces transformative challenges. Recent tariff measures affecting the key U.S. market may trigger inflationary pressures that force clients to cut back on spending. Although U.S. President Donald Trump did not impose direct tariffs on IT services, experts warn that indirect consequences could significantly impact Indian companies serving critical sectors such as manufacturing, logistics, and retail.