‘No importer can afford this’: Indian exporters worried over Trump’s new tariff law

Exporters express concerns about halting trade and the uncertainty it creates, especially impacting the vulnerable textile sector reliant on the US market.

The new US law empowering President Donald Trump to impose tariffs of up to 100 per cent on Indian goods is a major concern as it could severely disrupt India’s exports to the country, according to exporters.

Exporters raise concerns over a new US law allowing President Donald Trump to impose tariffs of up to 100% on Indian goods. (AFP)

“If the US imposes high tariffs, it will completely halt our exports to the US. No importer can afford this high level of tariffs,” Federation of Indian Export Organisations (FIEO) President SC Ralhan said. Airing similar views, Mumbai-based exporter and CMD of Technocraft Industries Sharad Saraf said along with the tariffs, the uncertain environment will also have an impact.

“We are worried about the new law because it is creating a lot of uncertainty in the otherwise healthy trade relations,” Saraf said.

The textile sector, where the US is India’s largest market, flagged particular vulnerability. “Any additional tariffs under this act will be very difficult to absorb for the MSME-dominated Indian textile and apparel sector already under stress,” said CITI chairman Ashwin Chandran.