Sharp US tariffs have plunged Coimbatore and Tirupur’s garment industry into turmoil, leading to massive layoffs and a nosedive in exports. Once a booming hub shipping millions of dollars worth of apparel to America, the region now grapples with factory closures and worker distress.
Export figures paint a grim picture: shipments to the US dropped 35 percent in the past fiscal year, forcing over 500 units to scale back operations. ‘Tariffs have made our products uncompetitive overnight,’ lamented S. Murugan, a veteran manufacturer. Labor-intensive knitwear and hosiery, staples of Tirupur’s output, bear the brunt.
The human cost is staggering. An estimated 50,000 jobs have vanished, with women workers—who make up 60 percent of the workforce—particularly affected. Hostels stand empty, and remittances to rural families have dried up, straining household budgets across India.
Manufacturers are pivoting to domestic sales and alternative markets like Australia and ASEAN countries, but logistical hurdles and currency fluctuations complicate the transition. Tamil Nadu’s government has rolled out emergency aid, including power bill waivers and skill retraining programs, yet stakeholders call for bolder measures like anti-dumping probes.
Looking ahead, the industry’s resilience will be tested. With global apparel demand softening, Coimbatore-Tirupur must innovate in sustainable fabrics and automation to survive. Recovery hinges on diplomatic breakthroughs in trade negotiations.
