The Confederation of Indian Textile Industry (CITI) has raised concerns over the potential impact of additional U.S. tariffs on India’s textile and apparel exports.

CITI Chairman Ashwin Chandran said the U.S. is the single-largest market for India’s textile and apparel sector. He noted that any additional tariffs under the recently signed U.S. sanctions legislation could be difficult for India’s largely MSME-driven textile industry to absorb.

According to CITI, Indian textile exporters are already facing pressure from several challenges, including continuing instability in West Asia. Higher tariffs could further affect their competitiveness in the U.S. market.

Chandran urged the Indian government to engage closely with the U.S. to ensure Indian exporters are not placed at a disadvantage. He also called for a fair and predictable bilateral trade framework that can support long-term textile and apparel trade between the two countries.

CITI said India’s free trade agreements with other markets could create new export opportunities. However, these agreements are unlikely to immediately replace the importance of the U.S. market for Indian textile and apparel exporters, as the benefits of new FTAs may take time to materialise.