Bracing for pain, exporters cling to trade deal hopes

The lunch hour has just begun, along with a light drizzle under an overcast Faridabad sky. At a makeshift eatery in Sector 31, a group of export-unit workers sit down to eat, but the mood is uneasy.

- SHIVA RAJORA

The lunch hour has just begun, along with a light drizzle under an overcast Faridabad sky. At a makeshift eatery in Sector 31, a group of export-unit workers sit down to eat, but the mood is uneasy. Someone breaks the silence: "There will be less work in the coming months".

"We thought this raar (dispute) with (US President Donald) Trump would blow over. But now it seems it will drag on. India bhi jhukega nahi (India won't bow down either). And it's daily wagers like us who will pay the price," says 32-year-old Amit, an embroidery machine operator. A few American clients of his units have long cancelled their orders. "Let's see what happens."

From Wednesday, Indian exports face a 50 per cent tariff in the American market. The blow lands hardest on low-margin, labour-intensive industries — apparel, textiles, auto parts, engineering goods, gems and jewellery, shrimp, and carpets. They now face even stiffer competition from Southeast Asian and Chinese rivals.