The Tamil Nadu Hotel Owners Association has decided to take a strong stand against US President Donald Trump’s tariff war on Indian products. The association, which represents more than one lakh hotels and restaurants in Tamil Nadu, has announced that it will boycott American soft drink brands like PepsiCo and Coca-Cola, along with their many popular products, including mineral water.

In India, these two companies dominate the soft drinks market. PepsiCo owns brands like Aquafina, 7UP, Mountain Dew, Mirinda, Slice, and Tropicana. Coca-Cola owns Sprite, Thums Up, Limca, Fanta, Maaza, Kinley, and Minute Maid. Their refrigerators and coolers are a common sight in almost every eatery and restaurant.

According to industry estimates, India’s non-alcoholic beverage market, which includes soft drinks and bottled water, was worth over ₹67,000 crore ($7.6 billion) in 2019 and is expected to grow to ₹1.5 lakh crore by 2030. By boycotting these American brands, Tamil Nadu’s hotel owners want to protest against the 50% tariffs that the US has imposed on Indian products.

Association President M. Venkadasubbu confirmed that the decision was taken unanimously by the members and will take effect within two weeks. He added that Indian alternatives are available to fill the gap. For example, Reliance-owned Campa Cola could increase its supply, and fresh fruit juices could also be promoted as healthy options.

The tariff war has badly hit Tamil Nadu’s economy, especially exports. Sectors such as textiles, leather, automobile components, and shrimp are struggling. Tiruppur, a major textile hub, exports about ₹45,000 crore worth of garments every year, with one-third of it going to the US. Because of the high tariffs, Indian exports are becoming much costlier compared to those from countries like Vietnam, Bangladesh, and Sri Lanka, where tariffs are only 20%.

Exporters say this makes it hard to compete. Many small and medium businesses are running at very low profit margins and cannot absorb these costs. If the situation continues, buyers may shift to other countries. Exporters have urged the Indian government to step in with relief measures and negotiate better trade terms with the US.

The leather industry faces the same problem, as Indian goods are taxed at 50% while competitors pay only 20%. Exporters warn that US shipments may stop if this continues, and are now looking for alternative markets. They hope the government will support them with subsidies and strong trade negotiations.