India Threads Trade Advantage as Tariffs Fray Textile Majors

US President Donald Trump's decision to impose tariffs on all imports to the US gives India's textile industry a competitive edge, as rivals such as Vietnam, Bangladesh, and China will face higher duties, experts say.

- SHINE JACOB

However, inflation-driven buyer sentiment could dampen the potential gains for India.

The advantage could grow if trade negotiations lead to zero-duty cotton imports. Under Trump's tariff plan, Vietnam's textile exports will face a 46 per cent duty, Bangladesh's 37 per cent, and China's 54 per cent. Other key players, including Sri Lanka (44 per cent) and Cambodia (49 per cent), will also be affected.

India, in contrast, will face a reciprocal tariff of 27 per cent (according to the White House, after Trump initially stated 26 per cent).