T.N. CM STALIN WRITES TO PM MODI FLAGGING IMPACT OF U.S. TARIFFS ON STATE; SEEKS RELIEF MEASURES

Tamil Nadu Chief Minister M.K. Stalin on Saturday (August 16, 2025) wrote to Prime Minister Narendra Modi, highlighting the considerable impact of United States' tariffs on Tamil Nadu, including the threat of layoffs in export-oriented sectors, and urged the Union government to take immediate measures, including providing a special financial relief package to support exporters.

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"I wish to bring to your attention a matter of considerable concern to Tamil Nadu, as it faces severe implications due to the current 25% tariff and its potential escalation to 50%," Mr. Stalin wrote.

"In the last financial year, while 20% of India's total goods exports of $433.6 billion were to the United States, 31% of Tamil Nadu's $52.1 billion goods exports went there. This higher dependency on the U.S. market clearly implies that tariff impact on Tamil Nadu will be disproportionately greater than for most other Indian states. Hence, this tariff has significant implications for Tamil Nadu's manufacturing sector and employment scenario," he pointed out.

"The most-affected sectors are textiles, apparels, machinery, auto components, gems and jewelry, leather, footwear, marine products, and chemicals. Even more concerning is that all these sectors are labour intensive, wherein any export slowdown will quickly result in mass layoffs," Mr. Stalin pointed out.