US Tariffs Cast Shadow on India’s Diamond Exports
India’s burgeoning natural polished diamond exports, which contributed a significant 35 per cent to the total export figures in fiscal 2025, are bracing for a challenging period. This follows the recent announcement of tariffs and penalties by the United States, a key market for Indian diamonds.
Crisil Ratings officials highlighted the looming headwinds facing the industry. The new levies are expected to impact the competitiveness of Indian diamonds in the US market.
This development poses a serious concern for the thousands of Indian workers employed in the diamond sector, from miners to polishers and exporters. The potential economic fallout could be substantial, impacting livelihoods and foreign exchange earnings.
The government will need to swiftly address this challenge, potentially through diplomatic channels or exploring alternative export markets, to mitigate the negative impact on this crucial sector. The long-term implications for India’s gem and jewellery industry require careful monitoring.
