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Indian garment exporters looking to EU to offset US tariffs – Reuters

by Admin
October 14, 2025
in News, Politics, World
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Indian garment exporters looking to EU to offset US tariffs – Reuters
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Published: October 14, 2025 1:34 pm
Author: RT

Textile firms are reportedly working to meet Brussels’s tougher standards on chemicals, product labeling, and ethical sourcing

Indian textile exporters are seeking new customers in the European Union (EU) in an effort to cushion the blow from US tariffs, Reuters said on Monday.

The firms are increasing efforts to meet the European bloc’s more stringent standards on chemicals, product labeling, and ethical sourcing, the news agency said, citing exporters.

Indian exporters are also upgrading their production facilities to meet these standards, Reuters cited Rahul Mehta, a chief mentor of the Clothing Manufacturers Association of India as saying.

India and the EU are intensifying work on a free trade agreement (FTA), with two key negotiation rounds expected in October to address longstanding disputes.

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A busy street in Dhaka, Bangladesh. FILE PHOTO.
US tariffs could drag down South Asia growth rate – World Bank

The move by Indian textile firms towards Europe comes as they face 50% tariffs on exports to the US. Washington slapped the tariffs, which include a 25% “penalty” for buying Russian oil, on New Delhi in August.

In February, a group of EU officials led by European Commission President Ursula von der Leyen met Indian Prime Minister Narendra Modi and prepared a “blueprint for collaboration” in the area of trade.

However, EU top diplomat Kaja Kallas said last month that the bloc was also concerned about India’s oil trade with Russia. “If both parties did not reach a mutually agreeable solution to their positions on Russia and Ukraine, then no agreement would be reached,” she explained.

New Delhi has refused to yield to Western pressure over its economic ties with Moscow.

Higher tariffs by the US on Indian exports have also impacted sectors such as gems and jewelry and marine products. The levies could drag down India’s economic growth in 2026, the World Bank said earlier this month.

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