Latest news with #UnitedStatesInternationalTradeCommission
Time of India
6 days ago
- Business
- Time of India
Textiles, engineering goods to seafood: Trump's 50% tariff bombshell sends shockwaves across industries
Live Events — amitabhk87 (@amitabhk87) — narendramodi (@narendramodi) The additional 25% tariff imposed by US President Donald Trump on Wednesday has further unsettled Indian exporters, who were already facing difficulties due to the earlier 25% tariffs. With total tariffs on Indian imports now reaching 50%, there is widespread disappointment and concern across various sectors, including textiles, engineering goods, and Chadha, Chairman of EEPC India , a trade and investment promotion organisation, called the Trump administration's decision very disappointing. 'It potentially threatens to derail the ongoing trade talks between the two countries. The additional duty, above the current 25%, will take effect in 21 days, suggesting that the decision leaves room for negotiations. The US is the top market for Indian engineering goods, and we hope that the ongoing trade negotiations for an interim deal will be finalised sooner than later,' he FY25, India's exports of engineering goods to the US increased by 8.7% to $19.15 billion from $17.62 billion in 2023-24. This growth highlights the robust relationship and potential for trade between the two is another sector with significant exports to the US. In 2025, India's textile and apparel shipments to the US are estimated to be $9-10 billion across all major categories, according to data from the United States International Trade Commission. The tariff will hit the sector hard, which primarily consists of MSMEs and operates on extremely low Sekhri, Chairman of the Apparel Exports Promotion Council, dubs Trump's 50% tariff a huge setback to the labour-intensive apparel export industry. 'There is no way the industry can absorb this. I am sure the government also realises that this unreasonable increase in tariff will sound the death knell for the micro and medium apparel industry, especially those who majorly sell to the US market, unless the GoI steps in with direct fiscal support to the industry,' he Kansal, Chairman, CTA Apparels, pointed out that currently competing nations enjoy borrowing rates as low as 2-4.5%, while Indian exporters face 8-12%. This steep tariff will make Indian products uncompetitive in the global market. 'Affordable trade finance must be a priority to prevent margin erosion. Further, beyond the US, exporters should aggressively target the UK, Europe, the Middle East, and emerging economies to mitigate single-market risks. This is a defining moment for the textile & apparel sector. By aligning government support with industry innovation, India can transform this short-term disruption into a long-term opportunity to become a more competitive and diversified global sourcing hub,' he G20 Sherpa Amitabh Kant, in a social media post on X, said, 'Trump has provided us a once-in-a-generation opportunity to take the next big leap on reforms. The crisis must be fully utilised.'The Indian seafood sector is also looking at uncertainty. The US is a major buyer of Indian shrimp, with annual imports exceeding $7 billion from India. The US accounts for more than 50% of India's total shrimp Kumar Gulati, Chairman at the Compound Livestock Feed Manufacturers Association (CLFMA) of India, highlights that Ecuador, a major competitor for India in seafood exports, faces only a 10-14% tariff. It is estimated that Indian exporters are already facing losses of Rs 600 crore due to order cancellations and containers stuck in transit as these tariffs take effect.'Whatever it takes, India will not compromise on the interests of its farmers, livestock keepers and fishermen,' Prime Minister Narendra Modi said on Thursday.'Margins in the industry are a slim 4-5%, making it impossible to absorb such steep tariff hikes, and exporters fear a significant long-term loss of market share, with Ecuador likely to replace India as the top shrimp supplier to the US. Even before the new tariffs, Indian seafood exporters were facing stiff price competition and falling prices thanks to increased supply from Ecuador. Shrimp prices dipped by 20-25% in the last year. The oversupply continues to depress global prices, which further erodes profits and export earnings for Indian producers,' he Kosaraju, CEO of AquaExchange Agritech Pvt. Ltd, an aquaculture marketplace platform, says that the immediate impact on the industry has been a 24-hour halt in purchases of shrimp just to understand the impact of the tariffs and to take corrective actions.'But from what we hear from the industry sources, we believe there will be a 10-15% reduction in the price of purchase from the farmers. So in the very short run, that's going to significantly impact the farmers, as it might lower the production cost for the farmer, and they might have to sell their emergency harvest for a loss too,' he says, adding that with the countervailing costs, the total tariffs will come to 58%, almost a 40% difference compared to Indonesia (18%) and Ecuador (14%).
Economic Times
6 days ago
- Business
- Economic Times
Textiles, engineering goods to seafood: Trump's 50% tariff bombshell sends shockwaves across industries
iStock With total tariffs on Indian imports now reaching 50%, there is widespread disappointment and concern across various sectors, including textiles, engineering goods, and seafood. The additional 25% tariff imposed by US President Donald Trump on Wednesday has further unsettled Indian exporters, who were already facing difficulties due to the earlier 25% tariffs. With total tariffs on Indian imports now reaching 50%, there is widespread disappointment and concern across various sectors, including textiles, engineering goods, and seafood. Pankaj Chadha, Chairman of EEPC India, a trade and investment promotion organisation, called the Trump administration's decision very disappointing. 'It potentially threatens to derail the ongoing trade talks between the two countries. The additional duty, above the current 25%, will take effect in 21 days, suggesting that the decision leaves room for negotiations. The US is the top market for Indian engineering goods, and we hope that the ongoing trade negotiations for an interim deal will be finalised sooner than later,' he said. In FY25, India's exports of engineering goods to the US increased by 8.7% to $19.15 billion from $17.62 billion in 2023-24. This growth highlights the robust relationship and potential for trade between the two is another sector with significant exports to the US. In 2025, India's textile and apparel shipments to the US are estimated to be $9-10 billion across all major categories, according to data from the United States International Trade Commission. The tariff will hit the sector hard, which primarily consists of MSMEs and operates on extremely low Sekhri, Chairman of the Apparel Exports Promotion Council, dubs Trump's 50% tariff a huge setback to the labour-intensive apparel export industry. 'There is no way the industry can absorb this. I am sure the government also realises that this unreasonable increase in tariff will sound the death knell for the micro and medium apparel industry, especially those who majorly sell to the US market, unless the GoI steps in with direct fiscal support to the industry,' he said. Mukesh Kansal, Chairman, CTA Apparels, pointed out that currently competing nations enjoy borrowing rates as low as 2-4.5%, while Indian exporters face 8-12%. This steep tariff will make Indian products uncompetitive in the global market. 'Affordable trade finance must be a priority to prevent margin erosion. Further, beyond the US, exporters should aggressively target the UK, Europe, the Middle East, and emerging economies to mitigate single-market risks. This is a defining moment for the textile & apparel sector. By aligning government support with industry innovation, India can transform this short-term disruption into a long-term opportunity to become a more competitive and diversified global sourcing hub,' he G20 Sherpa Amitabh Kant, in a social media post on X, said, 'Trump has provided us a once-in-a-generation opportunity to take the next big leap on reforms. The crisis must be fully utilised.' — amitabhk87 (@amitabhk87) The Indian seafood sector is also looking at uncertainty. The US is a major buyer of Indian shrimp, with annual imports exceeding $7 billion from India. The US accounts for more than 50% of India's total shrimp Kumar Gulati, Chairman at the Compound Livestock Feed Manufacturers Association (CLFMA) of India, highlights that Ecuador, a major competitor for India in seafood exports, faces only a 10-14% tariff. It is estimated that Indian exporters are already facing losses of Rs 600 crore due to order cancellations and containers stuck in transit as these tariffs take effect.'Whatever it takes, India will not compromise on the interests of its farmers, livestock keepers and fishermen,' Prime Minister Narendra Modi said on Thursday. — narendramodi (@narendramodi) 'Margins in the industry are a slim 4-5%, making it impossible to absorb such steep tariff hikes, and exporters fear a significant long-term loss of market share, with Ecuador likely to replace India as the top shrimp supplier to the US. Even before the new tariffs, Indian seafood exporters were facing stiff price competition and falling prices thanks to increased supply from Ecuador. Shrimp prices dipped by 20-25% in the last year. The oversupply continues to depress global prices, which further erodes profits and export earnings for Indian producers,' he Kosaraju, CEO of AquaExchange Agritech Pvt. Ltd, an aquaculture marketplace platform, says that the immediate impact on the industry has been a 24-hour halt in purchases of shrimp just to understand the impact of the tariffs and to take corrective actions.'But from what we hear from the industry sources, we believe there will be a 10-15% reduction in the price of purchase from the farmers. So in the very short run, that's going to significantly impact the farmers, as it might lower the production cost for the farmer, and they might have to sell their emergency harvest for a loss too,' he says, adding that with the countervailing costs, the total tariffs will come to 58%, almost a 40% difference compared to Indonesia (18%) and Ecuador (14%).
Yahoo
11-04-2025
- Business
- Yahoo
AGOA: US-Africa trade accord hangs in the balance
The African Growth and Opportunity Act (AGOA), whose future is in doubt since Donald Trump returned to the White House, provides duty-free access to the United States for certain African products. The accord is up for review in September and its disappearance could lead American importers to look for other sources. The recent turmoil unleashed by Trump's tariffs blitz has only added to the uncertainty over the fate of AGOA. - Preferential terms - The AGOA is a cornerstone of trading relations between the United States and African countries. The preferential trading agreement was launched in 2000 under Democratic president Bill Clinton and allows duty-free access on certain conditions, including political pluralism, respect for human rights and the fight against corruption. To date, some 30 of the 50 countries on the African continent benefit from the accord, which covers a wide range of products, from clothing to cars. In 2023, $9.26 billion worth of goods were exported under the accord, of which $4.25 billion were products from the oil or energy sector, according to the United States International Trade Commission (USITC). - In the balance - Washington has not officially cancelled the AGOA, which is due for renewal in September, but there is "no clarity currently" on its status, director of the Africa programme at the Chatham House think tank, Alex Vines, told AFP. "Given Trump's scepticism of multilateral frameworks, AGOA's continuation could be legitimately under threat," Ronak Gopaldas, analyst at the Institute for Strategic Studies, Africa, wrote before Trump's election. It was last renewed in 2015 and, before the election, a cross-party law submitted in April proposed to renew it until 2041. - Under threat - If Trump decides to move against the AGOA he has several options. He could simply not renew the accord in September, or just take out some countries such as South Africa, which he has targeted. "President Trump could cite the clause in the AGOA, which says that beneficiaries have to maintain, or their activities have to be in line with US security and foreign policy interests," said Richard Morrow, a researcher at The Brenthurst Foundation. He could also exclude certain industrial sectors from the accord, such as cars, which he has often described as a "bellwether for the American economy", he said. - Biggest beneficiary - South Africa is the biggest non-oil exporter in the accord, earning as much as $3.6 billion in 2023. Within AGOA, Washington exempted South African cars from customs duties. After precious metals, it is the country's second biggest export earner to the United States, earning up to $1.88 billion, according to the South African tax authorities. Not renewing AGOA could devastate the sector. Billy Tom, president of the sector's employers' organisation, Naamsa, said 86,000 jobs are directly tied to the accord within car manufacturers, 125,000 when including their sub-contractors. "I don't think that South Africa has got a chance of the renewal" of AGOA, said Neil Diamond, president of the South African Chamber of Commerce in the United States. The anti-Pretoria rhetoric has been led by Trump and South African native Elon Musk, the world's richest man who dominates the president's inner circle. Washington has hit out at a recent South African expropriation law, which it claims discriminates against the white minority. Pretoria has in particular come under fire from Washington for leading a case at the International Court of Justice accusing Israel of "genocidal" acts in its Gaza offensive, which Israel has denied. - Textiles, oil, farm products - In terms of non-oil exports, Kenya lags far behind South Africa with $509 million, followed by Madagascar with $339 million and Lesotho at $167 million, the three countries mainly selling textiles to the United States under the accord, according to the USITC. Nigeria is the accord's main oil and energy exporter, worth $3.7 billion in 2023. Other countries, such as Ghana, mainly export farm products under the accord. jah/jmy/kjm
Yahoo
12-03-2025
- Business
- Yahoo
Trump's tariffs the focus of MD Senator Angela Alsobrooks first bill
The Brief Senator Angela Alsobrooks takes aim at President Donald Trump's recent tariffs in her first bill. The legislation aims to gain transparency on the impact of Trump's tariffs. MARYLAND - Maryland Senator Angela Alsobrooks is calling for transparency with her first bill, the Tariff Transparency Act. This legislation calls for the United States International Trade Commission to conduct an investigation into the impact of President Donald Trump's tariffs, and the threat of these tariffs, on imports from Mexico and Canada. Trump officially increased tariffs on all steel and aluminum imports to 25%. The decision that came on Tuesday, March 11, will eliminate all exemptions from his 2018 tariffs on the metals, in addition to increasing the tariffs on aluminum from 10%. "Marylanders are struggling to put food on the table and afford the basic necessities as it is. The last thing we need are tariffs that will raise prices,"said Alsobrooks. "The truth is this: the Trump Administration knows that the tariffs on allies like Canada and Mexico will raise prices for consumers, spike inflation, and harm American small businesses. If they disagree, now is their time to prove it. My bill will force a nonpartisan study on this Administration's tariffs and how they will impact everyday Americans." What's next Trump has separate tariffs on Canada, Mexico and China, with plans to also tax imports from the European Union, Brazil and South Korea by charging "reciprocal" rates starting on April 2. The EU announced its own countermeasures on Wednesday. European Commission President Ursula von der Leyen said that as the United States was "applying tariffs worth 28 billion dollars, we are responding with countermeasures worth 26 billion euros," or about $28 billion. Those measures, which cover not just steel and aluminum products, but also textiles, home appliances and agricultural goods, are due to take effect on April 1. Separately, Trump on Tuesday threatened to put tariffs of 50% on steel and aluminum from Canada, but he chose to stay with the 25% rate after the province of Ontario suspended plans to put a surcharge on electricity sold to Michigan, Minnesota and New York. The Source Information for this story was provided by the Associated Press and FOX 5 reporting.
