Trump effect: Cotton fabrics exports drop 30%

ET logo


Cotton textile product exports from India headed southwards since the US announced tariffs in August 2025. Shipments dropped nearly 30% after the levy reached 50% later that month.

1. Average monthly decline after tariffs
Monthly exports averaged $517 million in the first seven months of 2025, but dropped to $394 million once tariff began in August, according to the latest Ministry of Commerce and Industry data accessed by ET.

2. Overall US market for cotton textile products
The US buys nearly one-third of India’s textile exports, with cotton-based products accounting for 85-90% shipments, according to K Srikumar, senior vice president, ICRA.

Cotton textile exports decline through 2025

1000731202

3.Overall cotton textile product export between (Jan 2025 – Nov 2025)

MONTHVALUE ($ Million)
JANUARY531
FEBRUARY507
MARCH575
APRIL497
MAY523
JUNE483
JULY506
AUGUST485
SEPTEMBER334
OCTOBER360
NOVEMBER395

4. The 2025 data show the decline across all product categories:

i) Cotton fabrics and made ups

MONTHVALUE ($ Million)
JANUARY228
FEBRUARY208
MARCH259
APRIL207
MAY211
JUNE211
JULY240
AUGUST229
SEPTEMBER166
OCTOBER173
NOVEMBER164

ii) Ready-made garments including accessories

MONTHVALUE ($ Million)
JANUARY300
FEBRUARY297
MARCH313
APRIL289
MAY310
JUNE270
JULY263
AUGUST252
SEPTEMBER166
OCTOBER185
NOVEMBER228

iii) Cotton yarn exports

MONTHVALUE ($ Million)
JANUARY3
FEBRUARY2
MARCH3
APRIL1
MAY2
JUNE2
JULY3
AUGUST4
SEPTEMBER2
OCTOBER2
NOVEMBER3

Element – Sivaramakrishnan Ganapathi, managing director, Gokaldas Exports

“Tariffs explain part of the reduction. We haven’t seen any drop in our own business, some companies combated this by offering discounts to customers. Naturally, you will find the overall exports come down in dollar terms…. we will see this flux continue for some time until things settle down. Till then, it hurts India, mainly from a margin standpoint.”

SOURCE: Directorate General of Commercial Intelligence and Statistics (DGCI&S), Ministry of Commerce and Industry



Source link

Online Company Registration in India

Leave a Reply

Your email address will not be published. Required fields are marked *