In a major boost for India’s textile ambitions, a fresh trade deal with the United States is set to drive exports to $100 billion by 2030, according to government sources. The announcement came on Saturday, highlighting the US’s pivotal role in contributing more than 20% to this target.
Textiles Ministry officials welcomed the agreement, describing it as a cornerstone for robust trade partnerships. The industry anticipates seismic shifts, with enhanced market access revolutionizing operations.
The US represents a $118 billion opportunity in textiles, apparel, and ready-made garments imports worldwide. India’s existing $10.5 billion exports there—dominated by 70% apparel and 15% made-ups—stand to grow exponentially under this deal.
Competitive advantages shine through with reciprocal 18% duties, lower than rivals: Bangladesh at 20%, China at 30%, Pakistan at 19%, and Vietnam at 20%. This pricing edge will prompt global buyers to pivot toward Indian suppliers, reshaping supply chains.
The pact also facilitates sourcing US intermediates, mitigating supply chain vulnerabilities and boosting efficiency. Domestic value addition will rise, product diversity expand, and employment surge. American investments are likely to follow, fueling innovation and capacity building.
As India positions itself as a textile powerhouse, this US trade framework emerges as a defining moment, blending opportunity with strategic foresight for sustained growth.