This move seems consistent with Trump's and part of the GOP's nationalist, anti-immigrant, anti-international trade ideology. He'll try to sell aspects of it in ways that appeal, but IMO it will have bad consequences for the U.S. and other economies:
First, demonizing foreign companies is a very dangerous trend to start. It's the same thought process as racial and religious prejudice - the outsiders are just one broad stereotype and threatening. Is it coincidence that he chose a country that is different and more foreign to most Americans - i.e., he didn't choose the UK or Australia, or even Germany.
Second, much of SV sells their products, including their technical services, outside the U.S.; if the U.S. becomes hostile to foreign goods and services, why will others continue to buying the same from American companies? If the U.S. abandons free trade in general, why will others pursue it? It also is a blow to global productivity; instead of large productivity benefits of economic specialization, with everyone using best-in-world products and services (again, many of which are American), we all become limited to best-in-our-country.
Third, India in particular is very important to the U.S., economically and strategically. Power comes from wealth and population; since WWII the U.S. has been by far the largest advanced economy in the world (Japan is second, ~40% as big), and thus the leading world power. China and India each have around 4 times the U.S. population and their economies are advancing quickly; if they advance far enough, the U.S. will be to them as the UK is to the U.S.; also the core of world economic activity will be Asia, where the people and wealth are. China is hostile to the U.S. in many ways; India at least is a (somewhat) pluralistic democracy which shares a British heritage with America. The U.S. may need India economically and strategically, and if Indians feel the U.S. is hostile to them as a nation or on a racial basis, it could cause significant damage.