Tirupur, February 4: Knitwear exporters in Tirupur have welcomed the decision to reduce U.S. import tariffs. They view this as a significant relief for an industry heavily reliant on exports and a crucial step towards renewed growth.
The Tirupur knitwear sector accounts for nearly 40% of total exports to the U.S. However, it has faced severe pressure due to a hefty 50% tariff. This situation forced many exporters to seek alternative markets, a process fraught with delays, increased costs, and operational uncertainties, according to industry leaders.
Changing the U.S. market has proven particularly challenging due to its vast scale and long-standing trade relationships. Over the past four to five months, there has been a rapid decline in exports to the U.S., raising concerns that American importers might permanently shift their sourcing to other countries.
In this context, the announcement by U.S. President Donald Trump to reduce tariffs to 18% has sparked a wave of hope within the Tirupur cluster. Industry representatives have termed this development a “happy day” for exporters, expressing confidence that the sector will regain its lost ground.
Kumar Duraisamy, Joint Secretary of the Tirupur Exporters Association, stated, “The delay in tariff reduction posed serious challenges, but now a solution has emerged between the two countries, providing us with great relief.” He added that further delays could have led importers to permanently distance themselves, complicating efforts to regain BUSINESS.
Echoing this sentiment, Shaktivel, President of the Apparel Export Promotion Council, noted that the reduction in tariffs would help restore confidence among American buyers and increase trade volume. He remarked, “Tirupur will certainly reclaim its former glory and move forward with renewed energy.”
Exporters are optimistic that with improved business conditions, this industry, once regarded as India’s knitwear capital, will return to its growth trajectory in the coming months.
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S.C.H.