Tamil Nadu's Export Woes: CM Calls for Urgent Reforms Amid US Tariff Hikes
Tamil Nadu's exports, particularly from Tiruppur's textile sector, face a crisis due to a 50% US tariff hike. CM MK Stalin demands immediate action from the Center, citing job risks and economic repercussions. The appeal is for swift structural reforms and special financial relief to assist affected industries.
- Country:
- India
Tamil Nadu Chief Minister MK Stalin has once again urged the Indian government to provide immediate relief and necessary reforms following a drastic 50% tariff increase imposed by the United States, which has severely impacted Tamil Nadu's exports, notably Tiruppur's textile industry.
According to Stalin, the tariff hike has jeopardized thousands of jobs within the sector, causing an economic impact of approximately Rs. 3,000 crore. The Chief Minister had already communicated these concerns to Prime Minister Narendra Modi on August 16, emphasizing the urgent need for a tailored financial relief package.
K.M. Subramanian, President of the Tiruppur Exporters' Association, highlighted that knitwear exporters, heavily reliant on the US market for about 10% of their exports, are among the worst hit. With India facing a 50% tariff compared to 25% for countries like Vietnam and Bangladesh, the industry is burdened by demands for discounts or cancellations.
(With inputs from agencies.)
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