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Economic Times
09-07-2025
- Business
- Economic Times
Textile Stocks: Textile stocks rally after US hikes tariffs on Bangladesh garments
Jhunjhunwala said valuations are factoring in structural opportunities from the US Free Trade Agreement, the India-US trade deal, and a potential deal between the EU and India, but near-term uncertainty is expected to persist. Indian textile stocks saw a surge following the United States' decision to impose tariffs on Bangladeshi garment imports. This move sparked optimism for Indian companies, anticipating improved export prospects. Analysts suggest a potential trade deal between India and the US could further benefit the sector. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Mumbai: Textile stocks jumped up to 9% on Tuesday after US President Donald Trump imposed 35% tariffs on garment imports from Bangladesh - one of the biggest exporters of garments to the US - effective from August 1. The move spurred optimism in Indian textile stocks, in anticipation that lower tariffs on Indian exports could lead to better prospects for these said a trade deal between India and the US could lead to lower tariffs, which may improve business for textile companies."The imposition of a higher rate of tariffs on key garment exporters like Bangladesh puts Indian textile exporters in a favourable position," said Kaustubh Pawaskar, VP - lead analyst (consumption), ICICI Securities (retail). "Any positive development in the India-US trade deal could result in further gains."However, until the uncertainty over the deal persists, near-term volatility cannot be ruled stocks gave up some of the gains but still closed higher on Tuesday. Raymond Lifestyle gained 5%, while KPR Mills and Trident advanced 3.6% and 3.3%, respectively. Gokaldas Exports and Garware Technical Fibres rose 2.7% and 2.1%, respectively, while Welspun Living moved 0.6% higher."The 35% tariffs on Bangladesh and 36% on Cambodia and 40% on Myanmar-major textile exporting nations - may be favourable for India, as the expected trade deal between the US and India may include a lower tariff rate for India, which prompted the buying interest in textile stocks today," said Prerna Jhunjhunwala, VP, equity research - textile and retail, Elara said valuations are factoring in structural opportunities from the US Free Trade Agreement, the India-US trade deal, and a potential deal between the EU and India, but near-term uncertainty is expected to persist."With Bangladesh's key exports - woven apparel ($4.78B) and knitwear ($2.63B) - now costlier, India's own exports in knit & woven garments ($2.55B each) and home textiles ($2.21B) are set to gain share," said Dharan Shah, Founder, - an investment platform. "Gokaldas Exports, Vardhman Textiles, and KPR Mills are best positioned to benefit from this sourcing shift, especially in high-demand US apparel segments," he said.
Economic Times
09-07-2025
- Business
- Economic Times
Textile stocks rally after US hikes tariffs on Bangladesh garments
Mumbai: Textile stocks jumped up to 9% on Tuesday after US President Donald Trump imposed 35% tariffs on garment imports from Bangladesh - one of the biggest exporters of garments to the US - effective from August 1. The move spurred optimism in Indian textile stocks, in anticipation that lower tariffs on Indian exports could lead to better prospects for these companies. ADVERTISEMENT Analysts said a trade deal between India and the US could lead to lower tariffs, which may improve business for textile companies. "The imposition of a higher rate of tariffs on key garment exporters like Bangladesh puts Indian textile exporters in a favourable position," said Kaustubh Pawaskar, VP - lead analyst (consumption), ICICI Securities (retail). "Any positive development in the India-US trade deal could result in further gains." However, until the uncertainty over the deal persists, near-term volatility cannot be ruled out. The stocks gave up some of the gains but still closed higher on Tuesday. Raymond Lifestyle gained 5%, while KPR Mills and Trident advanced 3.6% and 3.3%, respectively. Gokaldas Exports and Garware Technical Fibres rose 2.7% and 2.1%, respectively, while Welspun Living moved 0.6% higher. "The 35% tariffs on Bangladesh and 36% on Cambodia and 40% on Myanmar-major textile exporting nations - may be favourable for India, as the expected trade deal between the US and India may include a lower tariff rate for India, which prompted the buying interest in textile stocks today," said Prerna Jhunjhunwala, VP, equity research - textile and retail, Elara Capital. ADVERTISEMENT Jhunjhunwala said valuations are factoring in structural opportunities from the US Free Trade Agreement, the India-US trade deal, and a potential deal between the EU and India, but near-term uncertainty is expected to persist."With Bangladesh's key exports - woven apparel ($4.78B) and knitwear ($2.63B) - now costlier, India's own exports in knit & woven garments ($2.55B each) and home textiles ($2.21B) are set to gain share," said Dharan Shah, Founder, - an investment platform. "Gokaldas Exports, Vardhman Textiles, and KPR Mills are best positioned to benefit from this sourcing shift, especially in high-demand US apparel segments," he said. (You can now subscribe to our ETMarkets WhatsApp channel)
Time of India
09-07-2025
- Business
- Time of India
Textile stocks rally after US hikes tariffs on Bangladesh garments
Mumbai: Textile stocks jumped up to 9% on Tuesday after US President Donald Trump imposed 35% tariffs on garment imports from Bangladesh - one of the biggest exporters of garments to the US - effective from August 1. The move spurred optimism in Indian textile stocks, in anticipation that lower tariffs on Indian exports could lead to better prospects for these companies. Analysts said a trade deal between India and the US could lead to lower tariffs, which may improve business for textile companies. "The imposition of a higher rate of tariffs on key garment exporters like Bangladesh puts Indian textile exporters in a favourable position," said Kaustubh Pawaskar, VP - lead analyst (consumption), ICICI Securities (retail). "Any positive development in the India-US trade deal could result in further gains." However, until the uncertainty over the deal persists, near-term volatility cannot be ruled out. The stocks gave up some of the gains but still closed higher on Tuesday. Raymond Lifestyle gained 5%, while KPR Mills and Trident advanced 3.6% and 3.3%, respectively. Gokaldas Exports and Garware Technical Fibres rose 2.7% and 2.1%, respectively, while Welspun Living moved 0.6% higher. "The 35% tariffs on Bangladesh and 36% on Cambodia and 40% on Myanmar-major textile exporting nations - may be favourable for India, as the expected trade deal between the US and India may include a lower tariff rate for India, which prompted the buying interest in textile stocks today," said Prerna Jhunjhunwala, VP, equity research - textile and retail, Elara Capital. Jhunjhunwala said valuations are factoring in structural opportunities from the US Free Trade Agreement, the India-US trade deal, and a potential deal between the EU and India, but near-term uncertainty is expected to persist. "With Bangladesh's key exports - woven apparel ($4.78B) and knitwear ($2.63B) - now costlier, India's own exports in knit & woven garments ($2.55B each) and home textiles ($2.21B) are set to gain share," said Dharan Shah, Founder, - an investment platform. "Gokaldas Exports, Vardhman Textiles, and KPR Mills are best positioned to benefit from this sourcing shift, especially in high-demand US apparel segments," he said.
The Guardian
30-06-2025
- Business
- The Guardian
Albanese says US tariffs on Australia ‘should be zero' as leaders prepare for end of Trump's 90-day pause
Anthony Albanese says trade tariffs placed on Australia by the US Trump administration 'should be zero' as leaders around the world prepare for a second Liberation Day announcement following a 90-day pause on tariffs. Relations between the US and Australia have been strained on numerous fronts as the US president, Donald Trump, looks to impose tariffs on global imports and pressures western countries to lift defence spending commitments. The 90-day pause on a minimum baseline tariff rate of 10% is expected to lift next week and Albanese said Australia has continued to put forward its case that it should be exempt. Sign up for Guardian Australia's breaking news email 'We continue to put our case forward that it shouldn't be 10. It should be zero. That is what a reciprocal tariff will be. We have a US Free Trade Agreement, of course, and we've put forward very clearly our arguments. We'll continue to do so,' the prime minister said on Monday. Earlier this year, the US trade body placed Australia's subsidised medicine system, meat and fruit industries and refreshed media bargaining code in its crosshairs for higher tariffs, before Trump ultimately announced a 10% baseline tariff on goods from Australia. Separately, Australian steel and aluminium exports to the US face a 25% tariff. Trump has flagged the US could boost the tariffs to as high as 50%, prompting the ire of Australian ministers who said it was not the 'act of a friend'. Amid the trade dispute, the US administration has urged countries including Australia to significantly raise defence spending to at least 3% of GDP, and a snap review of the Aukus deal with the UK and Australia. The US Pentagon announced a 30-day review of the Biden administration pact in early June by US defense undersecretary, Elbridge Colby, to determine whether it remained aligned with the the president's 'America first' agenda. Albanese said Australia had advocated for the agreement at 'every opportunity' and flagged an upcoming meeting with the UK – part of the two countries' annual strategic dialogue, Aukmin– as another opportunity to highlight its advantages. 'Aukus benefits three countries: Australia, the UK and the US. But it does something more than that as well. It benefits the world because it makes our region and the world more secure because it is such an important agreement going forward,' he said. Colby, a critic of the Aukus deal, had previously urged Australia to lift its defence spending to 3% of GDP whilethe US defense secretary, Pete Hegseth, had floated 5% of GDP in response to China's growing military. Australia is currently on track to lift defence spending from about $53bn a year, or about 2% of GDP – to an estimated $100bn, or 2.4% of GDP, by 2033-34. On Monday, Albanese reiterated there was no plan to increase defence spending, when asked whether it could increase next April with the release of the National Defence Strategy. '$57bn isn't nothing ... what we want to do is to use defence procurement, not just to assist in the defence of Australia, but also to be a facilitator of that advanced manufacturing,' he said. The foreign affairs minister, Penny Wong, visits Washington DC this week to meet with US, Japanese and Indian counterparts at a meeting of the Quad. The finance minister Katy Gallagher told the Today Show she had 'no doubt' defence cooperation between the four countries would be raised.
Observer
16-04-2025
- Business
- Observer
FTA to soften blow of US tariffs on Omani exports
MUSCAT: The Oman Chamber of Commerce and Industry (OCCI) organized a virtual workshop on Tuesday titled, 'US Tariffs and Their Impact on Omani Exports', focusing on the recent executive decision by the United States regarding reciprocal tariff measures. The session addressed the potential repercussions of the new policy on Omani exporting companies and the broader national economy. The event also highlighted proposed mechanisms to mitigate any negative outcomes and discussed strategies for Omani institutions and businesses to preserve their competitiveness in the American and global markets. His Highness Sayyid Dr Adham bin Turki Al Said, Chairman of the Economic Committee at OCCI, emphasized the significance of the new tariffs, stating: 'The imposition of uniform global customs tariffs by the US represents a significant challenge for Omani trade, especially regarding bilateral commerce. However, the continued benefits of the Oman–US Free Trade Agreement (FTA) offer a competitive edge compared to other countries. Omani institutions must closely monitor these developments and verify tariff codes and the country of origin to ensure they continue to benefit from exemptions and advantages granted under the agreement.' He further stressed the importance of proactive planning to ensure that Omani products remain competitive in US and global markets. Shaikh Saud bin Ahmed al Nahari, Board Member of OCCI, highlighted that the session is part of the Chamber's efforts to keep pace with changes in global trade policies and help Omani companies prepare for any potential impacts. 'Despite the existing FTA between Oman and the US, the new tariff measures have included Omani exports. Government agencies in Oman are actively engaging with their US counterparts to review the implications of this policy. Meanwhile, OCCI continues to educate business owners and exporters through workshops and expert-led discussions to enhance their readiness and resilience.' Amy Hawn, Managing Partner at the Omani Trade Office in the United States, noted that the Oman–US FTA still provides Omani exports with a competitive margin compared to non-FTA countries, which can help soften the blow of the new tariff regime. Michael J Ford, President of TradeBridge Consulting, stressed the importance for Omani companies to stay informed about tariff updates and to regularly verify their Harmonized System (HS) codes and rules of origin to fully capitalize on the FTA exemptions. The session was part of OCCI's ongoing commitment to supporting the private sector in understanding global commercial shifts and preparing for potential risks to trade. The platform enabled open dialogue on emerging challenges and opportunities, fostering direct interaction between Omani business leaders and international trade experts.
