The US has temporarily suspended additional tariffs on India for 90 days, until July 9, 2025, offering relief to Indian exporters. This decision provides a window for advancing bilateral trade agreement talks between India and the US. While a 10% baseline tariff remains, exporters are optimistic that diplomatic engagement will mitigate the impact.
Source: The Economic Times
Union Minister Piyush Goyal stated India is strategically addressing the US reciprocal tariff issue, aiming to significantly boost trade relations. The goal is to increase trade with the US by two and a half times, potentially reaching USD 500 billion, as agreed upon by Prime Minister Modi and President Trump in February. Speaking to reporters in Mumbai, the Union Minister assured that India is already ahead in this race, and that discussions were making good progress. He further said that Prime Minister Narendra Modi and President Donald Trump had decided in February to strengthen bilateral relations.
Source: The Economic Times
India’s commerce ministry is identifying export opportunities arising from the US-China trade war. A 90-day pause in reciprocal tariffs gives Indian exporters time to share added costs with buyers. With the US imposing steep tariffs on China, Indian sectors like textiles, footwear, and food see potential to gain market share. However, Chinese competition in non-US markets remains a concern.
Source: The Economic Times
US tariffs on China could boost Indian exports in textiles, leather, engineering, and electronics, but GTRI advises proactive measures to sustain competitiveness. A temporary 90-day suspension offers a window for Indian exporters, with a flat 10% duty on imports, lower than proposed rates. Goods with 20% US components will only have the non-US portion taxed, provided value is declared. GTRI suggested that the government reintroduce interest equalisation scheme to help small firms with access to cheaper working capital credit and customs expediting shipments.
Source: The Economic Times
India and Russia have agreed on six new strategic projects to boost bilateral investment during the 8th India-Russia Working Group session in New Delhi. Officials reaffirmed economic cooperation and reviewed past outcomes. Over 80 firms joined the India-Russia Investment Forum, highlighting strong business interest. Both sides committed to deepening their long-standing “Special and Privileged Strategic Partnership” across key sectors. The session that was held in the national capital on April 9, 2025, was conducted under the India-Russia Intergovernmental Commission on Trade, Economic, Scientific, Technological, and Cultural Cooperation and focused on advancing collaborative projects in sectors of mutual interest.
Source: The Economic Times
The government on April 10, 2025, issued operational guidelines for the implementation of the A.P. Textile, Apparel and Garments Policy (4.0) 2024-29, which is aimed at attracting investments in textile production and apparel manufacturing with special emphasis on value addition, employment generation and environment protection. It was stated in G.O. Ms. No. 55 that more than 848 units commenced production with a total investment of over ₹13,617 crore and generated employment for 1,05,225 people between 2014 and 2024 but there has since been limited progress in value-added textile activities such as weaving, knitting, preparatory, processing, technical textiles, and integrated units.
These segments hold significant potential not only for value addition but also for generating largescale employment. It was felt that a focused approach is needed to ensure the conversion of the entire yarn produced in the State into fabrics and prevent value migration, and it required a policy framework that promotes key components of the textile value chain. Keeping this in view, the government has come up with the above policy. It is applicable from December 11, 2024 to December 10, 2029.
Source: The Hindu
Textiles Secretary Neelam Shami Rao chaired a meeting with the Weavers' Service Association on issues related to the sector and assured the government's support, the Ministry said on April 10, 2025. The meeting was held in Bengaluru on April 9, 2025, the official handle of the textile ministry shared on X, formerly Twitter. Researchers from CSIR -- National Aerospace Laboratories (NAL), and Indian Institute of Science (IISc) also presented new projects supported under the National Technical Textile Mission during the meeting.
As per 4th All India Handloom Census 2019-20, there are 35,22,512 handloom weavers/workers across the country. The Ministry of Textiles, Government of India, is implementing schemes under National Handloom Development Programme (NHDP) for the welfare of handloom weavers/workers across the country.
Source: The Week
Vietnam and India have great potential for cooperation in the garment and textile sector as the US's new reciprocal tax policy could significantly impact exports of both countries to the US market, according to Bui Trung Thuong, Trade Counselor at the Vietnam Trade Office in India. Vietnam is the world's third-largest textile and garment exporter, with an export value reaching 44 billion USD in 2024, while India is a leading supplier of raw materials, particularly cotton and cotton yarn. India also boasts a long-standing textile industry, with strengths based on a wide range of natural fibers such as cotton, jute, silk, and wool, as well as various synthetic fibers like polyester and nylon, making it a highly potential market. The country has developed the capability to produce a variety of polyester textiles, artificial silk (rayon), acrylic, blended fibers, and other mixedmaterial textile products. It is also one of the world’s top exporters of synthetic and blended textile products, according to the Vietnamese Ministry of Industry and Trade. Meanwhile, Vietnam currently relies on China for 65% of its textile input materials. Therefore, increasing cotton and yarn imports from India will not only help diversify supply sources but also reduce material costs by 22–27% thanks to tax incentives under the ASEAN-India Free Trade Agreement (AIFTA). To promote bilateral textile and garment cooperation, Thuong proposed the two countries establish a joint investment fund worth 500 million USD to build spinning mills in southern India and northern Vietnam, along with smart fabric research centres in Ho Chi Minh City and Bangalore (India). It is necessary to sign a bilateral preferential tax agreement to help businesses in both countries reduce import-export costs and enhance competitiveness and set up a Vietnam-India textile innovation fund to support joint research projects on green technologies, technical textiles, and recycled materials.
Source: Vietnam Plus
The United States is evaluating tariff agreement offers from 15 countries, with potential deals on the horizon, according to White House economic advisor Kevin Hassett. Following recent market volatility and a reversal on tariffs by President Trump, trade officials are prioritizing key nations to finalize agreements swiftly. Significant progress on trade deals is anticipated within the next few weeks.
Source: The Economic Times
The American Apparel & Footwear Association (AAFA) has welcomed the Trump administration’s decision to pause “reciprocal” tariffs for 90 days but hopes it can be “extended to all countries” – especially China. Steve Lamar, president and CEO of AAFA said that despite the pause, the US policy still leaves extreme tariffs on China that will lead to higher consumer prices for apparel, footwear, and accessories – and higher costs for US manufacturers that rely on materials sourced from China.
Source: Eco Textiles
KARACHI: Some four companies from Pakistan participated in the second edition of Heimtextil Colombia, the most important home textiles fair in the region, ended on 10th April 2025. The exhibition took place from April 8 to 10, 2025 at Plaza Mayor Medellín. Pakistani companies participated in Heimtextil Colombia 2025 were Classique Textile, K.B Exports, Mahee International, and Zafar Fabrics. These companies showcased their high-quality products including bed linen, kitchen linen, and towels, underscoring Pakistan’s strong position in the global textile sector. Heimtextil Colombia 2025 brought key buyers from Latin America, with Colombia, Peru, and Mexico leading the demand for home textiles. This business and innovation platform connected more than 120 exhibitors,1,400 international buyers, and around 4,000 attendees, consolidating its position as the epicentre of the home textiles industry on the continent.
Source: B Recorder
