India's garment exporters are optimistic after Donald Trump's second term as US President. They think that the newly elected President Trump plans to reduce the dependence on China in his new term. This will create an opportunity for India to capture a larger share of the US export market. Besides, Indians also want to take advantage of the political unrest in Bangladesh.
According to the Indian media, Telegraph India, Trump's second term as the President of the United States is going to start next year. It is happening at a time when political unrest is going on in Bangladesh. Bangladesh is one of the leading textile exporters in the world. In this situation, top international fashion brands are focusing on diversifying their supply and are looking for alternative sources from Bangladesh.
Rakesh Mehra, chairman of the Confederation of Indian Textile Industry (CITI), said, “With the new (US) administration, the Indian textile and ready-made garment industry is optimistic about increasing its role as an alternative supplier to China.”
According to the report, the US is one of the most important markets for India's textile sector in 2023. In that year, 27 percent of this sector's exports were to the United States. Recent figures also show good growth. In October 2024, India's textile exports increased by 11.56 percent compared to the same period of the previous year. At the same time, the growth in garment exports has been 35.06 percent.
India's textile and apparel exports to the United States increased by 7.08 percent during the period from April to October this year compared to the same period last year. Mehra said in this regard, 'This performance has surpassed our main competitors.'
Mehra said, China's growth in this sector was only 2 percent, Vietnam's 4.4 percent and Bangladesh's exports decreased by 2.2 percent. He said, 'Such growth has been possible due to India's growing popularity among US buyers.'
However, high tariffs on Indian textile products in the US are a major obstacle. This duty is up to 32 percent on certain apparel categories. In this regard, Rakesh Mehra said, 'CITI is hopeful that the Trump administration will work together with India. India's position in the United States will be strengthened by changing the tariff structure.
India's Apparels Export Promotion Council (APC) is also optimistic about Trump's comeback. Sudhir Sekhri, chairman of the organization, said that India's presence in countries with free trade agreements like South Korea, Japan and Australia is increasing. He said, 'International buyers are increasingly considering India as a more reliable alternative to Bangladesh and China.'
APC Secretary General Mithileshwar Thakur said, 'Continued funding, training and investment in the sector is needed to deal with ongoing disruptions in trade and rising costs.'
