Trump Tariffs: India’s Textile Sector Faces Bangladesh, Vietnam Heat
Ajay Srivastava, founder of the Global Trade Research Initiative (GTRI), has warned of a significant challenge to India’s textile and garment sector. The looming threat stems from the 25 per cent US tariffs imposed by the Trump administration on Indian goods, coupled with unspecified penalties.
This protectionist measure places Indian exporters at a disadvantage. Bangladesh and Vietnam, facing comparatively lower tariffs, are now poised to gain market share.
The differential tariff structure creates an uneven playing field, potentially impacting India’s competitiveness in the crucial US market. This could lead to job losses and hinder the sector’s growth trajectory.
Srivastava’s warning underscores the need for proactive policy interventions. The government must strategize to mitigate the negative impact of these tariffs and safeguard the livelihoods of millions employed in the textile industry. The long-term implications for India’s economic growth demand immediate attention.
