November 12, 2025
Industry

CMAI Slams US Tariff Hike As Blow To Indian Apparel Exports

The Clothing Manufacturers Association of India (CMAI) has strongly condemned the United States’ recent decision to double tariffs from 25% to 50%, warning that the move could severely undermine India’s apparel exports competitiveness in the global market.

In an official statement, CMAI President Santosh Katariya expressed deep concern, calling the tariff hike “a crippling blow” to the Indian apparel industry.

“The proposed 50% tariff will increase the cost of Indian apparel by 30–35% compared to products from competing countries like Bangladesh and Vietnam. Buyers are unlikely to absorb such a significant price differential, and this could result in a steep decline in export orders,” Katariya stated. He further described the U.S. decision as “unjustified, unfair, and arbitrary.”

CMAI cautioned that such elevated duties could destabilize the Indian garment sector, potentially leading to factory closures, job losses, and broader economic distress, especially among small and medium-sized exporters who are already grappling with high input costs and shrinking margins.

Ankur Gadia, Vice President of CMAI, urged the Indian government to step in swiftly. “We appeal to the Government of India to adopt a firm and proactive stance and initiate negotiations for more balanced and equitable trade terms with the U.S.,” Gadia said.

Rahul Mehta, Chief Mentor of CMAI, added that while the association hopes the tariff hike is part of a broader strategic negotiation, urgent steps are required. “We strongly recommend that the government and industry stakeholders collaborate on an immediate action plan to mitigate the impact of this draconian levy,” Mehta noted.

CMAI anticipates a turbulent period ahead for Indian apparel exporters and called for strategic policy intervention to safeguard the industry’s long-term sustainability.

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