The Confederation of Indian Textile Industry (CITI) has welcomed the United States’ recent decision to pause the implementation of new reciprocal tariffs—except for China—for 90 days, which were originally set to take effect on 9 April 2025. During this grace period, a reduced reciprocal tariff rate of 10% will apply, in addition to existing duties and taxes.
Shri Rakesh Mehra, Chairman of CITI, praised the move as a short-term relief for India’s textile and apparel exporters, who were bracing for steeper tariff hikes. “This development offers a temporary reprieve, but it’s essential that India continues to engage with the US for a more permanent, equitable trade resolution,” he said.
He emphasized the strategic importance of the US market, noting it remains the largest destination for Indian textile and apparel exports. While acknowledging the Indian government’s efforts toward bilateral negotiations, Mehra urged the introduction of an interim Textile Exports Protection Scheme to help exporters cope with additional tariff-related costs—especially crucial given the sector’s typically low profit margins.
He also highlighted the ongoing US-China trade tensions as an opportunity for India to strengthen its presence in global supply chains. “As the US seeks alternatives to Chinese suppliers, India can position itself as a reliable sourcing partner. Achieving this, however, requires active diplomatic engagement and the establishment of a stable and favorable tariff framework,” Mehra added.
