Tamil Nadu CM raises alarm over Rs 60 crore daily loss due to US tariffs on India
Chennai: Tamil Nadu Chief Minister M.K Stalin has expressed deep concern over the combined daily revenue loss of Rs 60 crore to exporters across various districts of the state due to the 50% tariffs imposed by the US on India.
According to Kashmir Media Service, in a letter to Indian Prime Minister Narendra Modi, Stalin urged him to address the issue immediately. He warned that the ongoing trade disruption is not just an economic setback, but also a looming humanitarian challenge due to the severe damage caused by the US tariffs.
In particular, Stalin highlighted the impact on Tiruppur, known as the “Knitwear Capital of India,” where exporters have reported a staggering loss of Rs 15,000 crore in confirmed orders, along with production cuts of up to 30% across many units. He noted that new orders are also drying up at an alarming rate.
Stalin emphasized that Tamil Nadu plays a pivotal role in India’s textile and apparel industry, accounting for 28% of the country’s textile exports and employing around 75 lakh workers. “More than 10 lakh workers are also employed in leather and footwear exports, with Tamil Nadu accounting for 40% of India’s overall leather and footwear exports.”
“The ripple effects are profound: lakhs of jobs hang in the balance, with the sectors already witnessing layoffs and wage deferrals that threaten the stability of entire communities. Worse still, international buyers are rapidly diverting orders to competitors like Vietnam, Bangladesh, and Cambodia, which have a current tariff advantage over us,” Stalin said in his letter.
Stalin also cautioned Modi that once these markets were lost, “regaining them would be an uphill battle, as entrenched supply chains rarely revert back.”
Stalin called for a “swift decision” on the matter and expressed hope for an early resolution. “I look forward to an early resolution of this impasse,” he concluded.
