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01 Jan 2026

US Tariff Shock — Concern for Orders

📢 India’s garment and textile export sectors are bracing for a potential drop in orders from the United States after a tariff hike on imports, which could affect exports and jobs. Exporters are evaluating strategies to retain orders and market share. Key garment exporters including Welspun Living (WLSP.NS), opens new tab, Gokaldas Exports (GOKL.NS), opens new tab, Indo Count (ICNT.NS), opens new tab and Trident (TRIE.NS), opens new tab, make 40%-70% of their sales in the United States. Higher tariffs could shift orders to Vietnam, which now has lower U.S. duties of 20%. The United States is India's largest market for garment and jewellery, with nearly $22 billion in exports in 2024. India has a 5.8% share in the U.S. garment market, behind China, Vietnam and Bangladesh. "We were getting ready for expansion, expecting 10%-15% tariffs under the U.S. deal," said Gautam Nair, director at Matrix Design and Industries Pvt Ltd, a subsidiary of India's largest garment exporter Gokaldas Exports. Source : Reuters