India’s Jewellery and Textile Exporters See Contrasting Impact from US Tariffs
In 2025, the global trade landscape is once again shifting, with the United States implementing a fresh round of tariffs targeting key sectors. Among the most affected are Indian jewellery and textile exporters, who are experiencing vastly different outcomes from these changes.
Jewellery Exporters Reap the Benefits
India’s jewellery industry, which accounts for a significant portion of the country’s export earnings, is poised to gain from the new US tariffs. As tariffs hit Chinese jewellery products harder, American buyers are increasingly turning to Indian suppliers for alternatives.
Jewellery exports from India, particularly in gold, diamonds, and handmade crafts, are projected to see a 15%-20% rise in demand from the US market over the next year. Exporters are quickly adapting by ramping up production, improving product quality, and enhancing marketing strategies targeting American buyers.
Quote: "This is an excellent opportunity for Indian jewellers to expand their footprint in the US. We are seeing increased enquiries and bulk orders already," says Rajiv Mehta, a leading jewellery exporter from Mumbai.
Textile Exporters Face New Challenges
Conversely, India's textile sector is grappling with headwinds. Despite India's competitive manufacturing base, new US tariffs on synthetic fibres and finished textile products have made Indian goods pricier in the American market.
Many Indian textile exporters now find themselves squeezed between rising production costs and falling price competitiveness. Furthermore, competition from countries like Vietnam and Bangladesh, which enjoy preferential trade agreements with the US, has intensified.
Expert Insight: "While natural fibre products like cotton have seen steady demand, synthetics are under pressure. Exporters must innovate and explore alternative markets," notes Priya Sharma, a trade analyst.
Strategic Response from Indian Exporters
To mitigate these impacts:
Jewellery exporters are strengthening brand presence in the US through trade shows and direct marketing.
Textile companies are diversifying their markets, focusing on Europe, the Middle East, and Southeast Asia.
Some exporters are negotiating local partnerships in the US to manage tariff costs effectively.
Others are exploring value-added products and sustainable textiles to appeal to evolving consumer preferences.
FAQ Section:
Q1. How are US tariffs impacting Indian jewellery exporters?
A: Indian jewellery exporters are benefiting from the US tariffs on Chinese products, leading to increased demand and higher export opportunities in the American market.
Q2. Why are Indian textile exporters facing difficulties?
A: US tariffs on synthetic textiles have made Indian products less competitive compared to those from Vietnam and Bangladesh, forcing Indian exporters to adapt.
Q3. Which markets are Indian textile exporters targeting apart from the US?
A: Indian textile exporters are increasingly focusing on Europe, the Middle East, and Southeast Asia to diversify and reduce reliance on the US market.
Q4. What strategies are jewellery exporters using to maximize US opportunities?
A: Jewellery exporters are enhancing product quality, participating in trade shows, and leveraging direct marketing to strengthen their presence in the US.
Q5. What are the long-term prospects for India’s exporters amid global tariff changes?
A: Long-term prospects remain strong if exporters adapt quickly, invest in quality upgrades, explore new markets, and align with global trends like sustainability.
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Published on :April
28, 2025 by : RADHIKA