US tariffs could divert textile input sourcing, say Indian exporters
The United States imposed an additional 10% tariff on Indian imports following a Section 301 investigation, which Indian exporters warn could reduce sourcing of textile inputs from India. The Federation of Indian Export Organisations (FIEO) highlighted that new tariff-rate quotas for Bangladesh, Cambodia, Indonesia, and Malaysia may further divert sourcing away from India. Despite these challenges, Indian exporters believe the country remains better positioned than competitors like China and Vietnam in the textile sector.