India’s exports to the United States have sharply declined following a new wave of tariff hikes imposed by the Trump administration. Between May and September 2025, total exports to the U.S. fell 37.5%, dropping from $8.8 billion to $5.5 billion, according to data from the Global Trade Research Initiative (GTRI).
The textile and garment sector—a cornerstone of India’s export economy—was among the hardest hit, with shipments tumbling 37%, from $944 million to $597 million. Within the category, garments suffered the steepest fall at 44%, followed by yarn and fabrics at 41%. Home textiles, however, proved more resilient, declining by just 16% over the same period.
The downturn follows the escalation of U.S. tariffs that began in April. Initially capped at 10%, the duties on Indian exports were raised to 25% on August 1, and then doubled again to 50% less than a week later, as trade negotiations faltered. The move, analysts say, has had a “deep and widespread impact” across multiple sectors, from apparel to industrial goods.
Beyond textiles, India’s solar panel exports to the U.S. plunged 60.8%, aluminum fell 37%, copper 25%, and pharmaceuticals 15.7%.
As both Washington and New Delhi reassess trade priorities, India’s exporters face mounting uncertainty. The textile industry, in particular, now confronts a tougher U.S. market while competing suppliers in Southeast Asia and Latin America stand to gain.
