Imagine dedicating years to a craft, only for global trade policies to put your livelihood at risk. That’s the stark reality for millions in India as new US tariffs take aim at vital export industries. Will Modi’s ‘Make in India’ dream survive this economic challenge?
The intricate world of Indian craftsmanship and national economic ambition faces unprecedented challenges as new US trade policies threaten to unravel decades of progress and stability for millions of workers.
For artisans like Jinul Abedeen, a master of Zardozi threadwork, years of dedication to an ancient craft were meant to secure his family’s future. His story, deeply personal and illustrative, highlights the profound human impact of global trade shifts on skilled laborers across India.
Recent White House decisions have imposed significant tariffs on Indian goods, specifically targeting key sectors such as textiles, diamonds, steel, and automobiles. These levies, among the highest ever imposed on a US trade partner, present a formidable obstacle to India’s export-dependent industries.
This aggressive tariff strategy is a cornerstone of the “America First” campaign, designed to address US trade deficits and prioritize domestic manufacturing. However, it directly clashes with Indian Prime Minister Narendra Modi’s ambitious “Make in India” initiative, which aims to transform India into a global manufacturing hub and alleviate widespread poverty.
As India’s largest export market, the United States has historically played a crucial role in supporting the “Make in India” vision. The current economic tensions, however, are now casting a long shadow over this vital trade relationship, leaving many companies and their employees in a precarious position.
The repercussions are already palpable within India’s manufacturing landscape. Sudhir Dhingra, owner of Orient Craft, reports that numerous orders from American buyers have been abruptly put on hold. This immediate slowdown translates into significant hardship for a workforce that relies heavily on international demand.
Experts like Hemant Makhija, who leads the fabrics department at Orient Craft, estimate that these tariffs could lead to job losses for as many as 20 million workers in India’s vast cotton mill sector alone. Considering the textile industry employs approximately 5 million people nationwide and contributes about 7% to the country’s GDP, the potential for widespread economic disruption is immense.
While some suggest exploring new markets in regions like Europe or South America, the immediate concern remains the substantial economic fallout and the lasting damage these policies could inflict on the Indo-American relationship. The long-term implications for global supply chains and economic partnerships are still unfolding.
Indian officials have vehemently criticized the tariffs as “unfair” and “unjustified,” underscoring a growing sentiment of concern and frustration within New Delhi regarding the protectionist trade measures and their far-reaching consequences on a burgeoning economy.
