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Indian Textile Journal
Home » India-USA Textile Trade Collaboration
Industry Update

India-USA Textile Trade Collaboration

By November 24, 20254 Mins Read
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Based on the interests and the policy view of President Donald Trump’s administration, the trade deal with India may settle at an average rate of 15 per cent, with the range for majority of goods to be between 15 per cent and 20 per cent, writes Dr Seshadri Ramkumar.

Enthusiasm in textiles and advanced products manufacturing was evident in a major global gathering in India.

Today (November 21, 2025), a major two day conference, “Global Textiles: Unearthing Opportunities,” organised by world’s largest textile professional association, Textile Association (India)-South India Unit kicked off in Coimbatore, India.

This conference has attracted about 600 participants who are in majority industry personnel along with academics and students. USA-based American Association of Textile Chemists and Colorists participated in the event as a collaborator.

Sanjay Jayavarthavelu, Chairman and Managing Director of Lakshmi Machine Works, a leading textile machinery company inaugurated the event as the Chief Guest. A conference Souvenir Book with articles and views from leading experts in the textile industry was released. Many industry leaders representing the textile trade such as spinning, knitting and value-addition participated in the event, which resonated well in the textile city, Coimbatore.

The conference is occurring at an ideal time to boost confidence among the textile exporters in India, particularly in Tirupur, Coimbatore, and Erode regions, which is dependent on exports to the United States and EU.

“Participants were enthused to come on a single platform to discuss trade, technology and the requirements to take the industry forward,” stated S Sivakumar, Honorary Secretary of Textile Association-South India Unit, who has been a key member in organizing the conference.

Indian and the global textile and apparel sectors are having a demand issue due to economic and geopolitical situations. While these are barriers, overcoming these and moving forward is the theme of the event. The conference is focusing on improving deliverables with reduced resources to make the industry competitive. E Mounaguruswamy, an industry veteran from Coimbatore and Sivakumar speaking to me stated that the industry participation in the event has been exhilarating and a collective approach is needed to strategize for the growth of the textile sector.

Indian textile industry must focus on product expansion and value addition, which will discussed in the conference opined spinning industry veterans K Gandhiraj and R Seenivasahan, who are part of the organising team on the conference.

In my article in the conference souvenir, I argue for a win-win trade deal between the United States and India. Based on the interests and the policy view of President Donald Trump’s administration, I opine that the trade deal with India may settle at an average rate of 15 per cent, with the range for majority of goods to be between 15 per cent and 20 per cent. As President Trump ran on tariff platform, it is not a possibility for zero tariff rate, but for certain goods, a better deal for India can go as low as 10 per cent, depending on how the negotiations progress.

These views are based on prevailing geopolitical situation and on how the tariff rates have come up for United States’ long-standing allies like the United Kingdom (UK). Majority of imports from the UK have a base rate of 10 per cent while certain products have higher rates depending on the sector. India might aspire for zero tariff rates for textiles, leather and goods like jewellery modeled after India-UK FTA, it is unlikely to get that sort of agreement with the United States. Even if India’s rate comes to 20 per cent, given the tariff for China is at 40 per cent, India can compete well in the global market. To be highly competitive, Indian industry must expand its product offerings, be cost competitive and focus on high quality. These aspects are being discussed among the practitioners who are attending the event in Coimbatore.

Government of India has also unleashed timely support schemes to boost confidence and export such as exploring new markets for Indian goods. According to government sources, active discussions are going on between India and the United States and hope that a deal may be clinched before the end of the year.

The conference which is being organised by Textile Association (India) will lead to exchange of ideas in trading, marketing, and technology aspects, which are priority segments.

Global textile sector is eagerly waiting for a win-win trade deal between two leading nations, United States and India.

About the author:

Dr Seshadri Ramkumar is a Professor, Nonwovens & Advanced Materials Laboratory in Texas Tech University, Lubbock, TX, USA. You can contact him on Email: s.ramkumar@ttu.edu

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