Donald Trump in India: Here’s why it's such a big deal

US President Donald J Trump may not be cheered on by seven million people when he lands in Ahmedabad next week, but he can be assured that Indians are as smitten by American dollars as the rest of the world. Investments by American funds form a whopping 33.21 per cent of assets under custody in the Indian stock market and this does not count investments routed through Luxembourg, Mauritius and Singapore.

American firms also dominate foreign direct investment (FDI) infl ows into India and the country is the fi fth-biggest investor ahead of the UK, Germany, France and China. Only Japan is ahead of India, according to government figures. US digital giants already command a lion’s share of Indians’ internet and social media usage. Consumer fi rms are struggling. Sales of Harley Davidson, an iconic symbol of America, are too small to make a difference, Ford’s market share in India is just under 2.5 per cent despite being in India for 25 years. US banks don’t do retail and US mutual funds have a negligible share of the burgeoning Indian asset management business.

But American soft power is growing and in more ways than one. Hollywood just had a bumper year in India and its business is nearly half that of Bollywood in the country.