US Tariffs Force Indian Textile Manufacturers to Halt Production

In response to the imposition of a 50% tariff on Indian exports by former US President Donald Trump, textile and apparel manufacturers in Tirupur, Noida, and Surat have halted production. The Federation of Indian Export Organisations (FIEO) highlighted that rising tariffs are severely impacting the competitiveness of Indian goods in the global market. FIEO stated that the textile sector is losing ground to rivals like Vietnam and Bangladesh, and the seafood industry, particularly shrimp, faces significant risks due to its reliance on the US market. The increased tariffs threaten potential stockpile losses, disruptions to supply chains, and potential distress for farmers. Moreover, about 55% of the goods headed to the US market, totaling $47–48 billion, are now at a pricing disadvantage of 30–35% compared to competitors from China, Vietnam, Cambodia, and other regional economies. FIEO also emphasized the importance of urgent diplomatic engagement with the US and the promotion of ‘Brand India’ through enhanced global branding and innovation to mitigate the impact of the tariffs.