Textile Exports: FTA Gains to Offset US Tariff Blow?
Indian textile exporters are expressing cautious optimism, believing that the gains from recently signed Free Trade Agreements (FTAs) will offset losses incurred due to the 25 per cent tariffs imposed by the US under President Trump’s administration. This assessment comes amidst ongoing concerns within the industry.
The impact of the US tariffs on Indian textile exports has been significant, affecting several key sectors. However, the government’s proactive approach to securing FTAs with other nations is seen as a crucial mitigating factor.
These FTAs, offering preferential access to various markets, are expected to generate new export opportunities and potentially compensate for the reduced US market share. The extent of this compensation, however, remains to be seen.
The coming months will be crucial in determining the actual impact of these FTAs on overall textile exports. The success of this strategy will significantly influence the future trajectory of the Indian textile industry and its global competitiveness. The government’s continued support and industry adaptation will be key to navigating this complex trade landscape.
