Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, January 21, 2025. This is Nelson John, let's get started.

As Donald Trump begins his second term as US President, there’s a lot of speculation about how his policies might unfold, especially when it comes to India. With control over both the House and the Senate, Trump is well-positioned to push through his agenda, which remains as unpredictable as ever. His priorities? Slapping hefty tariffs on imports to boost American manufacturing, cutting taxes, and taking tough measures on immigration, writes N Madhavan. Right off the bat, Trump plans to sign around 100 executive orders that could reshape U.S. policies on everything from immigration to trade. These moves could have a big ripple effect globally. For India, things look relatively positive, as ties between the two countries were pretty solid during Trump's first term, thanks to strong personal chemistry between Trump and Indian Prime Minister Narendra Modi. However, there are potential challenges. Trump's tariffs on Chinese goods could spark a trade war, slowing down the global economy and affecting Indian exports. Plus, there's the issue with H1B visas, crucial for India's tech industry, which are caught in a tug-of-war within Trump’s support base.

The Competition Commission of India (CCI) recently fined Meta Platforms Inc. ₹ 213 crore for alleged abuse of dominance related to Meta-owned WhatsApp's 2021 privacy policy update. This decision has sparked discussions about the potential conflict between CCI and sectoral regulators. This is particularly relevant with the new Digital Data Protection Act of 2023, which allows data processing with informed consent. CCI's ruling stops WhatsApp from sharing user data with other Meta entities for advertising for five years. This raises concerns about alignment with future regulations from the Data Protection Board of India, which will oversee data usage based on user consent. This situation highlights the tension between protecting competition and fostering innovation and user autonomy in the digital economy, reports Gireesh Chandra Prasad.

India's market regulator, SEBI, is intensifying its surveillance on penny stocks and micro-cap companies that show unusually high gains, which could indicate speculative trading. This move aims to safeguard retail investors, especially the millions of new traders who joined the market during the pandemic. The concern is that these stocks might not have earnings that justify their soaring prices, despite the Nifty Microcap Index rising by 21.7% in the past year. SEBI's strategy includes educational efforts to help investors recognize the risks associated with these investments and avoid falling for unverified tips on social media, Neha Joshi reports.

India's PM Internship Scheme, initially aimed at providing 10 million internships through the top 500 corporations by CSR spending, may soon include MSMEs. This inclusion aims to enhance employment opportunities as micro, small and medium enterprises are vital to the Indian economy, employing over 216 million people. The scheme offers a 12-month internship with a stipend of Rs 5,000 per month—Rs 4,500 funded by the government and Rs 500 by the industry—plus a one-time payment of Rs 6,000 upon securing an internship. Rituraj Baruah and Manas Pimpalkhare report that discussions are ongoing about integrating MSMEs that are part of the supply chain of larger corporations into this scheme. This move is expected to be announced in the upcoming union budget.

The pandemic paradoxically sparked a boom for India's PVC and steel manufacturers, with disrupted global supply chains causing a sharp increase in domestic prices. However, this high was short-lived as China's stringent covid policies in 2022 led to an influx of low-priced Chinese imports, significantly impacting Indian industries. As Donald Trump threatens to increase the tariffs on Chinese goods, there is rising concern that such a move could redirect an increased volume of Chinese products to India. This shift could exacerbate challenges for Indian manufacturers, who are already grappling with the influx of low-priced imports that undercut local production. This situation poses a significant threat to India’s industrial sectors, particularly in steel and PVC manufacturing, as these struggle to compete with cheaper, imported goods. N Madhavan writes about how India can escape a dumping flood from China.