India-US Trade Talks Raise Expectations for Textile Exporters
The upcoming visit of United States Trade Representative (USTR) Jamieson Greer to New Delhi on June 23-24 is being closely watched by India’s textile and apparel industry, as both countries work towards finalising the framework for a proposed bilateral trade agreement.
Commerce Secretary Rajesh Agrawal said discussions between Greer and Commerce and Industry Minister Piyush Goyal will focus on advancing the trade deal framework, which could pave the way for improved market access and stronger trade ties between the two nations.
For India’s textile sector, a comprehensive trade agreement with the United States—one of the country’s largest export destinations—could create significant opportunities by reducing trade barriers and enhancing competitiveness in the American market. Industry stakeholders are hopeful that ongoing negotiations will address issues related to tariffs, customs procedures, and non-tariff measures that impact textile and apparel exports.
The visit follows recent discussions between Indian officials and US trade negotiators, during which both sides reviewed trade in goods, customs facilitation, and economic cooperation. These areas are particularly important for textile exporters seeking smoother supply chains and faster market access.
At the same time, the industry is monitoring developments related to the US Section 301 investigation into India. The Office of the United States Trade Representative has proposed an additional 12.5% tariff on imports from India under the investigation. If implemented, such measures could affect the competitiveness of several Indian export sectors, including textiles and apparel.
However, the proposed tariff remains under review, with public comments invited until July 6 and hearings scheduled for July 7. This provides an opportunity for continued dialogue between the two countries before any final decision is taken.
The textile sector is also expected to benefit from India’s broader trade initiatives. Commerce Ministry officials are currently in London to resolve pending issues related to the implementation of the India-UK Free Trade Agreement, another pact that could expand export opportunities for Indian textile manufacturers.
As India and the United States intensify efforts to conclude a bilateral trade framework, textile exporters will be looking for outcomes that improve market access, reduce trade uncertainties, and strengthen India’s position in key global markets.