The US decision to put a 10 per cent levy on Chinese imports is giving Indian clothing exporters more leverage. Additionally, they expect that a settlement between Russia and Ukraine will improve European orders.
Amid increased political unpredictability and law-order issues in Bangladesh, international brands that had been sourcing clothing from that nation are now placing orders with Indian exporters.
In order to satisfy the increasing demand, manufacturing facilities in Tirupur, Tamil Nadu, India’s largest garment exporting hub, have increased their capacity in the last six months.
Tirupur Exporters Association president, KM Subramanian, stated that the larger companies have expanded their machine count from 5,000 to 10,000, while the smaller businesses have increased their machine count from 500 to 1,000.
The 10 per cent duty will increase the cost of Chinese clothing and textiles for American consumers. According to industry leaders, it would cause US imports from China to decline, giving India and other textile exporting countries an opportunity to close the gap.
About 800,000 people are employed by Tirupur’s 28,000 industrial facilities, which engage in a variety of textile value chain operations such as knitting, dyeing, bleaching, printing, embroidery, compacting, and calendaring. Global US brands like GAP, Carter’s, Target, and Walmart, as well as European behemoths like Next and Duns, as well as Australian retailer Woolworths, are placing orders with the cluster, which accounts for 55 per cent of the nation’s knitwear exports.
