The Economic Impact of Trump Tariffs on India's Export Sectors: Analyzing Vulnerabilities and Long-term Consequences

Oct 06, 2025 09:04 pm CST

This comprehensive analysis examines the profound impact of US tariffs on India's export-dependent sectors. With bilateral trade valued at $131.84 billion and the US accounting for 18% of India's exports, these tariffs threaten industries from leather and textiles to gems and electronics. The article explores how labor-intensive sectors employing millions in India's informal economy face particular vulnerability, potentially reducing GDP growth by 0.5-0.6% while causing factory closures, job losses, and market shifts to countries with lower tariff rates.