US tariffs on Indian garments threaten millions of jobs
Indian garment exporters in Tiruppur are struggling after the US suddenly raised tariffs on their clothes to 50%.
This hit comes as part of a larger trade dispute and has caused orders from the US to drop by as much as 80%.
With fewer orders, many factories are cutting shifts and letting workers go.
Tamil Nadu's textile sector may lose 3 million jobs
Tamil Nadu's textile sector could lose up to three million jobs, according to state officials.
The Chief Minister shared concern, saying the new tariffs could trigger widespread layoffs across the industry.
Factories now report US demand is just a fraction of what it was last year.
Exporters are offering big discounts to keep US buyers interested
To keep US buyers interested, exporters are offering big discounts—sometimes up to 25%. Still, it's not enough.
The US buys about 20% of India's exports, so these tariffs could wipe out $5-8 billion in revenue and slow down India's economic growth.
For now, exporters are searching for new markets, but it's tough to make up for the loss.