India eyes textile push in 40 nations to cushion US tariff blow

'Communication channels open to resolve tariff issue'

- OUR CORRESPONDENT

NEW DELHI: India is preparing dedicated outreach programmes in 40 countries, including the United Kingdom, Japan, and South Korea, to boost textile exports as part of a broader strategy to shield its economy from the impact of steep new tariffs imposed by the United States. An official said on Wednesday that these initiatives will be pursued alongside communication with Washington, which remains open to resolve the trade dispute.

Other countries being targeted under this initiative include Germany, France, Italy, Spain, the Netherlands, Poland, Canada, Mexico, Russia, Belgium, Türkiye, the United Arab Emirates, and Australia. Together, the 40 markets represent more than USD 590 billion in textile and apparel imports, while India's share stands at only 5-6 per cent.

"In each of these 40 markets, this is proposed to pursue a targeted approach, positioning India as a reliable supplier of quality, sustainable, and innovative textile products," the official explained. Export Promotion Councils (EPCs) and Indian missions abroad will spearhead the effort.

The United States' new 50 per cent tariff regime on Indian exports, effective August 27, has created uncertainty for sectors heavily dependent on the American market. The duties cover a wide range of goods and are expected to affect exports worth over USD 48 billion. The sectors most exposed include textiles and clothing, gems and jewellery, shrimp, leather and footwear, animal products, chemicals, and machinery.

Sectors such as pharmaceuticals and certain electronics remain outside the purview of the duties.

According to government data, India exported USD 86.5 billion worth of goods and services to the US in 2024–25, accounting for around 20 per cent of its total exports. The US has been India’s largest trading partner since 2021–22, with bilateral trade in goods touching USD 131.8 billion last year.