US tariff threats pose serious risk to Indian textile exports

The Confederation of Indian Industry (CII) has cautioned that tariffs potentially reaching 100 per cent could inflict significant damage on India's textile exports to the United States. The proposed duties, which could target major purchasers of Russian energy, would substantially increase the cost of Indian textile products in American markets, making them less competitive against rival suppliers.

The US remains the single largest export market for Indian textiles, accounting for a substantial portion of the sector's overseas revenues. Any substantial increase in tariff barriers would directly impact Indian manufacturers and exporters who rely heavily on American demand to sustain their operations and revenue streams.

The warning from CII underscores growing concerns within India's textile industry about the potential fallout from escalating trade tensions. Industry stakeholders have expressed alarm that such duties could prompt American importers to source textiles from alternative countries, potentially diverting significant business away from Indian producers.

The textile sector represents a critical component of India's manufacturing base and employment landscape. Any disruption to exports could have cascading effects across supply chains and impact thousands of workers dependent on the industry for their livelihoods.

The CII's alert signals the need for diplomatic engagement between Indian and American authorities to address trade concerns and prevent measures that could harm bilateral economic ties.