Tariffs Threaten Indian Workers’ Livelihoods: 50% US Tariffs on India Imports Jeopardize Jobs and Dreams of Self-Sufficiency in the Garment Industry

For over two decades, Jinul Abedeen honed his craft as a Zardozi artisan in India, a skill he hoped would secure his family’s future. His hard work paid off when he landed a job at Orient Craft, a prominent garment factory supplying global brands like Gap, Ralph Lauren, and American Eagle. However, the stability he found is now under threat due to unprecedented tariffs imposed by the US government on Indian imports.

These tariffs, among the highest ever levied on any trade partner, are part of President Trump’s “America First” policy aimed at reducing trade deficits and punishing countries for their oil purchases from Russia following its invasion of Ukraine. The decision is posing significant challenges for Orient Craft, which exports approximately 82% of its products to the US.

Abedeen voiced his concerns, saying, “This has caused a lot of difficulties, and the company is in trouble.” He added, “If the company is in trouble, we are in trouble. If the country is in trouble, we are in trouble.”

The impact of these tariffs extends beyond Orient Craft. Neeraj Pandey, who has spent 22 years at the factory, fears losing everything due to the new levies. He explained, “We could lose everything. Our employment will be gone.” For Sumitra Devi, her job goes beyond income; it’s a source of pride and opportunity for her family. She shared, “If I lose my job, the girls will have to go back to a government school… and my daughters are so proud. They say, ‘Look, my mother works.'”

The US is a crucial market for India’s manufacturing sector, particularly in textiles, diamonds, steel, and automobiles. Modi’s “Make in India” initiative, designed to transform the country into a global manufacturing powerhouse, relies heavily on exports to the US. The new tariffs threaten to derail this ambition, potentially leading to job losses and economic instability for millions of workers like Abedeen, Pandey, and Devi.

The diamond industry in Surat, which processes nearly 90% of the world’s rough diamonds, could also face significant challenges due to these tariffs. The sector employs around 5 million people nationwide and contributes about 7% to India’s GDP.

While the long-term impact remains uncertain, some experts predict that India may experience short-term pain but recover quickly due to its robust domestic market and ongoing economic reforms. However, for many workers like Pandey, any disruption in their employment could have devastating consequences. He pleads, “If they can come to a compromise, that would be better. If not, what can we do?”