India-US Trade Deal Boosts Textile Exports – Tiruppur Hub Welcomes Tariff Cut
Share Post
Textile exporters in Tiruppur, one of India’s biggest garment production and export hubs, have welcomed the latest trade framework agreement between India and the United States. The deal has significantly reduced U.S. tariffs on Indian textile and apparel products, giving the industry a much-needed boost.
Tariffs Slashed, Competitiveness Restored
Under the new trade agreement, the **tariff rate on Indian textile exports to the U.S. has been cut from as high as 50% to around 18%. This reduction came into effect recently and is expected to immediately improve India’s competitiveness in the American market.
For months, Indian exporters struggled with punitive tariff rates that made their products more expensive compared to competitors like Bangladesh, Vietnam and China. The new tariff reset eases this pressure and makes Indian garments more attractive to U.S. buyers.
Expectations of Growth and New Orders
Industry leaders in Tiruppur are optimistic about the impact of this deal:
-
Export Growth: The total value of garment exports from Tiruppur is currently around ₹15,000 crore. With the tariff cut, exporters expect this figure to possibly double over the next 3–5 years as orders flow in from the U.S. and other markets.
-
Unblocking Pending Orders: Many apparel orders worth around ₹4,000 crore that were previously held up due to tariff uncertainty are expected to be cleared soon.
-
Market Share Gain: Business owners said they anticipate fresh demand from U.S. buyers who had earlier shifted sourcing to other nations due to high tariffs.
More Jobs and Stronger Local Economy
The trade framework could also have a positive impact on employment:Currently, the textile and garment sector in Tiruppur employs about 1 million people. Industry representatives believe as many as 500,000 new jobs could be created over the next few years if export orders continue to grow.
Industry Leaders Speak
K. M. Subramanian, President of the Tiruppur Exporters’ Association, described the deal as “significant,” saying it would give the region “a major growth trajectory.” He added that the tariff cut will be visible in business performance within the next three months.
Another industry leader noted that some orders which previously went to Bangladesh are now expected to be redirected back to India, bringing more business opportunities for local manufacturers.
What This Means for India’s Textile Sector
Overall, the trade framework between India and the United States is seen as a turning point for the textile industry — restoring competitiveness, encouraging global buyers to return, and supporting job growth at a time when Indian exporters needed relief.
10:34 AM, Feb 10
.webp)
.webp)
US–Bangladesh Tariff Pact Brings Fresh Momentum to Garment Exports
04:08 PM, Feb 10.webp)
Industry Update
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
Kolkata Set to Become Textile Sourcing Hub as YARNEX and TEXINDIA Return in January 2026...view more
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
.webp)
1.webp)
1.webp)
1.webp)
1.webp)
1.webp)
Carrington Textiles Introduces Defence Stock Range for Faster Access to Military Fabrics...view more
1.webp)
1.webp)
1.webp)
1.webp)
India’s Energy Giant to Reshape Textile Landscape with Advanced Polyester Hub in Bhadrak...view more
1.jpg)
_large1.jpeg)
.png)
.jpg)
1.jpeg)