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Key Points

Tamil Nadu CM MK Stalin raised alarms over US tariff hikes, fearing massive job losses in export-driven sectors. He urged PM Modi to slash GST on synthetic fibres and ease import duties to cushion the blow. The MEA condemned the US move as "unfair," while India negotiates a trade deal protecting farmer interests. Modi reaffirmed his stance as a "wall" against policies harming agriculture.

Key Points: MK Stalin Urges Modi to Cut GST as US Tariffs Threaten Tamil Nadu Jobs

  • Stalin warns US tariffs may cripple Tamil Nadu's textile and auto exports
  • Urges GST cut to 5% on man-made fibres to ease industry burden
  • Seeks cotton import duty removal and low-interest loans for crisis relief
  • Modi vows to protect farmers amid US trade tensions
2 min read

TN CM Stalin express concern on 50% tariff by US, urges PM Modi to fix GST on man-made fibres at 5%

Tamil Nadu CM warns US tariffs could devastate exports, seeks GST reduction on man-made fibres and loan relief to protect lakhs of jobs.

"With US tariffs rising from 25% to a possible 50%, Tamil Nadu will be hit harder than most states as our exports are deeply tied to the US market. – MK Stalin"

Chennai, August 16

Tamil Nadu Chief Minister MK Stalin on Saturday expressed concern about the 50 per cent tariffs announced by the US on India, stating that this will hit the state harder than most states as their exports are deeply tied to the US market.

In a post on X, MK Stalin said, "With US tariffs rising from 25% to a possible 50%, Tamil Nadu will be hit harder than most states as our exports are deeply tied to the US market. Lakhs of jobs in textiles, leather, auto, machinery and other sectors are at risk."

https://x.com/mkstalin/status/1956621755172491503

CM Stalin further urged Prime Minister Narendra Modi to take a number of measures, such as fixing GST on man-made fibres at 5%, removing duty on cotton imports and extending easy, low-interest loans with a moratorium to overcome this crisis.

"I have urged the Hon'ble PM Thiru. Narendra Modi to act swiftly by fixing GST on man-made fibres at 5%, removing duty on cotton imports, extending easy low-interest loans with moratorium, and enhancing export incentives and credit," Stalin said.

He extended Tamil Nadu's complete support to the Union Government to tackle the tariff "crisis."

"Tamil Nadu will work closely with the Union Government to overcome this trade crisis," he said.

President Donald Trump announced sweeping and substantial tariffs on India, one of America's most important trading partners. In addition to a 25% tariff, Trump also announced an additional 25% tariff on India that will go into effect later this month as a repercussion for importing Russian oil and gas.

The Ministry of External Affairs (MEA) has slammed the US's move to impose additional tariffs, calling it "unfair, unjustified and unreasonable", and further noted that New Delhi would take "all actions necessary to protect its national interests".

Meanwhile, India is actively involved in the discussions on the Bilateral Trade Agreement with the US, which the two sides could not conclude due to the American demand to get comprehensive access to the Indian agriculture and dairy sector.

PM Modi has reaffirmed his support to protect farmers, saying that he is "standing tall like a wall against policies which are against farmer interest."

"If any policy is against India's farmers, fishermen, cattle rearers, Modi is standing like a wall," PM Modi said.

- ANI

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Reader Comments

P
Priya S
Why is our government not diversifying export markets? We're too dependent on US and China. Time to look at Africa, Latin America and strengthen ties with EU. #MakeInIndia should mean global reach!
A
Arjun K
Good to see CM Stalin taking proactive steps. Reducing GST on man-made fibers to 5% makes complete sense. Our textile industry needs all the support it can get in these tough times.
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Sarah B
As someone working in Chennai's export sector, I'm really worried. Many small businesses will collapse if these tariffs continue. Government needs to act fast with relief measures.
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Vikram M
While I support protecting farmers, we can't ignore industries either. A balanced approach is needed. Maybe we should reconsider some agricultural market access if it helps save lakhs of manufacturing jobs?
K
Kavya N
The US is being unfair but we need better long-term strategies. Focus on quality upgradation and branding of Indian products. 'Made in India' should mean premium quality, not just cheap labor!
M
Michael C
Respectfully disagree with CM Stalin on cotton import duty removal. Our own cotton farmers are struggling. Any relief package should include support for them too. #SupportIndianFarmers

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