Since US President Donald Trump has imposed another 25% tariff on Indian goods, which increased the total obligation to 50%, several industries in the country have been affected and lost a competitive advantage on the US market because Indian products were significantly more expensive.
Among the heavily affected, world -renowned Banarasi Saree and Silk Industry record a steep decline in demand for its goods. Traders say that steep tariffs have led to the refund of the finished goods in the value of the Laky, while the fresh export orders stopped.
This affects not only business, but also represents a serious threat to thousands of workers who are dependent only on the trade to obtain a source of livelihood, PTI said.
Merchants protest against tariffs
President Kashi Vyapr Mandal Ajit Singh Bagga told the statesman that Kashi traders in Varanasi protested against American tariffs on Indian goods by burning posters near the Azad Park in Lahurabir on August 27.
He said that Sarees Banarasi, who once enjoyed a strong demand in America, can see a decline in online sales after a steep 50% increase in tariffs to most imported goods. He said that customers can hesitate to buy traditional sari due to price increase.
Saree Trader based in Varanasi explained that customers have so far booked Banarasi Sarees online and were delivered through couriers that normal taxes were applicable. “But now, after the implementation of 50 % of the tariff, it is not clear how many obligations will increase to different goods. However, it is certain that it has an impact,” the trader said.
Meanwhile, the Federation of the whole India Vyapar Mandal’s Senior Vice President Prem Misra told the press agency that Sarees worth via £3000 crore is exported from all over India, which includes many regions of the country such as Madras, Surrat and Varanasi.
“Orders are constantly canceled. Merchants will face many problems when exporting goods,” he added.
Trump tariffs on Indian goods
US President Donald Trump signed an executive order that imposed another 25% obligation for Indian imports, which effectively increased the total fee to 50% in several categories, including textiles and clothing.
Among the most affected branches remained textiles at the top, with duties on knitted clothing reaching 63.9% and woven clothing to 60.3%. Experts in the field warn that steep tariffs could reduce Indian textiles and US clothing by up to 40-50%, which seriously affected the export market of $ 10.3 billion.
America was the largest Indian export destination for textiles, and India was the third largest supplier after China and Vietnam. However, the eaten tariff burden will cause India to lose competitiveness on the US market. For comparison, duties for products from China, Vietnam, Indonesia and Japan will be significantly reduced to 30%, 20%, 19%and 15%respectively.
(Tagstotranslate) tariff on Indian goods
