New Delhi, July 8 – India’s apparel and footwear sectors are expected to gain a competitive edge in the US market after Washington announced steep tariff hikes on imports from over a dozen countries, including major textile exporters like Bangladesh and Thailand.
On Monday, the United States announced new import duties, including:
- 25% on countries like Japan, South Korea, Kazakhstan, Malaysia, and Tunisia
- 30% on South Africa and Bosnia & Herzegovina
- 32% on Indonesia
- 35% on Bangladesh and Serbia
- 36% on Cambodia and Thailand
- 40% on Laos and Myanmar
These tariffs will be implemented starting August 1, 2025.
According to the Global Trade Research Initiative (GTRI), Bangladesh held a 13.15% market share in 2024 for non-knitted apparel exports to the US, making it the third-largest exporter in that category. In contrast, India’s exports were valued at $2.5 billion in the same segment but did not rank among the top three.
Industry experts believe the steep tariffs on competing nations will help Indian exporters regain ground, particularly in categories like natural garments, where India has traditional strengths. However, India continues to face stiff competition from Bangladesh and Vietnam, especially in the synthetic garment sector, where cost disadvantages remain significant.