Tamil Nadu Chief Minister M K Stalin has formally appealed to Prime Minister Narendra Modi to take urgent steps to resolve the ongoing trade tensions with the United States that have severely impacted the state’s export sector. Stalin described the 50% US tariff on Indian exports as “punitive” and urged the central government to negotiate a bilateral agreement to mitigate the losses.
The tariffs have resulted in the cancellation of export orders worth Rs 15,000 crore from Tiruppur, the country’s textile and garment hub. These cancellations have forced production cuts across multiple factories, directly affecting thousands of workers employed in the industry. Small and medium enterprises (SMEs), which form the backbone of Tiruppur’s export economy, are particularly vulnerable to the economic fallout.
In his communication to PM Modi, Stalin emphasized the urgent need to restore confidence among exporters and protect jobs in the state. He highlighted that prolonged tariffs could push SMEs into closure, destabilizing the regional economy and adversely affecting India’s overall textile exports. The Chief Minister requested that the central government engage with US authorities to review the tariff policy and seek mutually beneficial solutions.
Officials from Tiruppur’s textile industry report that the sudden imposition of tariffs has disrupted supply chains, delayed shipments, and increased operational costs. Exporters fear that if the issue is not resolved promptly, the ripple effect could extend beyond the textile sector, affecting ancillary industries such as logistics, packaging, and textile machinery supply.
Stalin’s request also underscores the importance of trade diplomacy in maintaining India’s global competitiveness. A negotiated resolution could ensure that Tiruppur’s exports regain their market share in the US, which remains one of the largest destinations for Indian textiles and garments.
Industry associations have welcomed the Chief Minister’s intervention, stating that a bilateral agreement with the US would provide clarity, stability, and reassurance to exporters. They highlighted that addressing the tariff issue promptly is crucial for sustaining production, protecting employment, and preserving India’s reputation as a reliable exporter.
The Tamil Nadu government has also offered to coordinate with industry representatives to provide data, impact assessments, and actionable proposals for discussion with the central government. Officials reiterated that swift action is necessary to prevent further economic and social repercussions in Tiruppur and surrounding areas.
In summary, the call from CM M K Stalin emphasizes the critical need for a strategic and timely resolution of trade barriers, safeguarding both exports and employment in Tamil Nadu, while strengthening India-US economic ties.
