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Key Points

The Apparel Export Promotion Council has written to PM Modi backing the government's firm stance against US trade pressures. While acknowledging the severe impact of new 50% tariffs on competitiveness, AEPC believes India's principled stand will benefit long-term economic interests. The industry is already exploring alternative markets including the EU, Saudi Arabia, and Mexico to offset potential losses. Meanwhile, Tamil Nadu's Chief Minister has warned of massive job losses in the textile hub of Tiruppur due to these tariffs.

Key Points: AEPC Backs Modi Government Stance Against US Tariffs on Textiles

  • AEPC supports government for not yielding to US pressure on reciprocal tariffs
  • US 50% tariffs risk making Indian apparel uncompetitive in key market
  • Industry exploring new markets like EU, Saudi Arabia, Mexico, and Chile
  • Tamil Nadu CM warns of major job losses in Tiruppur textile hub
2 min read

AEPC backs govt's stand to protect farmers, textile industry despite US tariffs

AEPC Chairman Sudhir Sekhri supports India's firm trade stance against US tariffs, prioritizing national interest over textile industry competitiveness.

"India’s principled and measured stand will ultimately benefit our nation’s economic interests in the long term - Sudhir Sekhri, AEPC Chairman"

New Delhi, Aug 28

Apparel Export Promotion Council (AEPC) Chairman, Sudhir Sekhri, wrote to Prime Minister Narendra Modi on Thursday expressing support for the government's efforts to protect farmers, dairy, textile industry and fishermen amid trade pressures from the United States.

Though AEPC expressed concern over the US' imposition of 50 per cent tariffs on Indian imports, which it believed will impact the competitiveness of India's textile and apparel industry, it lauded the government for "not yielding to the unreasonable and unethical pressure of the reciprocal tariffs".

“The recent tariff hike by the US is indeed a huge challenge for merchandise exporters. However, we are of the firm belief that India’s principled and measured stand will ultimately benefit our nation’s economic interests in the long term. The government’s commitment to safeguarding the nation’s progress and self-reliance is commendable," Sekhri wrote in his letter to PM Modi.

Indian textiles are globally valued for their quality, sustainability, and affordability, and such barriers risk disrupting long-standing supply chains built over decades, AEPC Chairman said.

With such a high tariff, the Indian apparels clearly risk being tossed out of the US market, he said, adding that the industry is nonetheless prepared to bite the bullet in the larger national interest.

The Indian apparel industry is already experiencing the effects of the tariff hike, with potential losses and order cancellations, and is looking into markets such as Saudi Arabia, Mexico, Chile, Russia, and the European Union, a release from APEC said.

"Given the EU's huge appetite for clothing consumption, we would like the FTA with EU to be fast-tracked to give the Indian apparel industry a level playing field vis-à-vis Bangladesh and Vietnam, who enjoy duty-free access in that market," said Mithileshwar Thakur, Secretary General AEPC.

The textile industry association said it is in active discussions with the ministers in the Ministry of Textiles and the Ministry of Commerce & Industry, and they have assured their best possible support in this crisis.

Tamil Nadu Chief Minister MK Stalin on Thursday warned that the US tariffs severely impacted the state’s exports, particularly the textile hub of Tiruppur, leading to major losses and threatening thousands of jobs. He urged the Centre to immediately roll out emergency relief measures and long-term structural reforms to safeguard workers and industries.

- IANS

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Reader Comments

P
Priya S
While I appreciate the government's stance, I'm worried about the workers in Tiruppur. My cousin works in a textile unit there and they're already facing salary cuts. Hope the relief measures come quickly 🙏
A
Andrew M
As someone working in export business, this is a tough situation. The 50% tariff makes Indian products uncompetitive in US market. Diversifying to EU and other markets is smart, but will take time to establish.
S
Shreya B
Our textiles are world-class! Instead of depending on any single country, we should focus on building our brand globally. Maybe this push will help us explore new markets and become truly self-reliant 💪
M
Michael C
The FTA with EU needs to be prioritized immediately. Bangladesh and Vietnam have duty-free access giving them huge advantage. Our government should negotiate better trade deals to protect our industries.
K
Kavya N
I respect the government's stand but we need concrete support measures for the affected workers. Job losses in textile sector will impact many families. Hope state and central governments work together on this.

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