US President Donald Trump’s ‘America First’ economic policies have sparked concerns about the future of Global Capability Centres (GCCs) in India. Even as American companies increasingly establish captive centres in India to leverage cost efficiencies and skilled talent, a US policy shift favouring domestic investment is expected to have a limited impact on this trend, industry experts observe.
Vikram Ahuja, Co-Founder of ANSR and CEO of 1Wrk, stated that it is still too soon to determine how this will unfold.
“President Trump has a clear approach towards doing business globally. From what is evident, India and the US enjoy close bilateral ties, both in terms of political, geopolitical, strategy and defence, and on a business-to-business level.”
Win-win for both economies
GCCs have emerged as a strong win-win for both economies, allowing American businesses to leverage global talent to further their growth and R&D agenda, build intellectual capital and IP and continue to oversee control. These centres also allow the Indian ecosystem to participate in building global products, giving the country’s professionals access to good opportunities.
“And if you look at the number of American companies with GCCs, from the Amazon to the Meta and the Google, we don’t think there will be a negative impact. Instead, it might further the notion of what GCCs are doing,” Ahuja added.
However, Alouk Kumar,Founder and CEO of Inductus, said while the pro-America policies, with their emphasis on tariffs and immigration curbs, may cast a subtle shadow over the Indian GCC ecosystem in the near term, it will be a ripple, not a tide.
“India’s GCCs have weathered such currents before — during Trump’s first term, their numbers swelled from 1,100 to 1,500 — proving the ecosystem lure. The recent DeepSeek event, achieving $5.58 million in what once cost $100 million, has sharpened global focus on cost rationalisation, a clarion call that aligns perfectly with India’s strengths: a vast talent reservoir, cutting-edge digital infrastructure, and a cost advantage that remains unmatched. This isn’t just about savings anymore; it’s about reimagining efficiency on a global stage.”
It is unlikely that American companies will scale back their captive centres in India, he noted.
Kumar continued, “Geopolitics may sway the margins, yet the ecosystem’s strategic allure —bolstered by government incentives and a workforce that powers 24/7 global operations —ensures its trajectory towards around 3,500 GCCs generating over $110 billion by 2030 holds firm. American firms won’t retreat; they’ll adapt, as they always have, finding in India not just a hub, but a partner in navigating this new era.”
Unlikely to slow down
According to Neeti Sharma, the CEO of TeamLease Digital, India leads the global GCC market, holding over 50 per cent market share.
American companies are unlikely to slow down on setting up GCCs in India. US firms already lead the way, with many GCCs in cities like Bengaluru, Hyderabad, and Pune. Plus, new hubs are popping up in tier II cities like Visakhapatnam, Jaipur, and Coimbatore, due to better infrastructure and lower costs.
Sharma shared that India has over 1,200 GCCs set up by American companies, making up more than half of the total GCCs in the country. These centres cover industries like IT, healthcare, and financial services, taking advantage of India’s large talent pool, lower costs, and strong innovation ecosystem.
The number of American GCCs in India has been steadily growing over the last 4-5 years, with the GCC sector projected to reach 2,100-2,200 centres by 2030, as India cements its place as a global GCC hub.
The resilience of India’s GCC ecosystem has been proven time and again, irrespective of macroeconomic shifts or geopolitical changes as was evident through the COVID-19 pandemic, observed Nilesh Thakker, the President of Zinnov.
“GCCs have not only sustained disruptions but built on their strength, delivering value, innovation, digital transformation, and business continuity for their parent organisations.”
As the US-India corridor remains strong, American enterprises continue to invest in India’s deep tech expertise and “high-value” talent. These centres have transformed from just support hubs to strategic engines of growth, enabling companies to navigate uncertainties while accelerating product development and innovation.
“While the GCC landscape is evolving with greater participation from non-US enterprises, this is part of a broader global diversification trend rather than a reaction to any single policy shift. The fundamental rule of economics prevails — companies will continue to invest where talent, technology, and value creation align, and India remains a top destination on all three fronts,” Thakker added.