Chief Minister M.K. Stalin has urged Prime Minister Narendra Modi to urgently intervene to address the impact of steep US tariffs that are crippling Tamil Nadu’s export sector, warning of massive daily losses and a looming employment crisis.
In a letter to the Prime Minister, Stalin highlighted that the 50% duties imposed on Indian goods, particularly textiles and garments, are causing severe and potentially irreversible damage to the State’s economy.
Tamil Nadu, India’s textile powerhouse, is facing losses estimated at nearly ₹60 crore a day across major export hubs such as Tiruppur, Coimbatore, Erode and Karur. Tiruppur alone has reportedly suffered losses of around ₹15,000 crore. Garment factories have cut production by up to 30%, threatening the livelihoods of lakhs of workers, many of them women and youth. The impact has also spread to the footwear sector in Vellore, Ranipet and Tirupattur districts.
Stalin called for swift bilateral engagement to secure the rollback or easing of tariffs, stressing Tamil Nadu’s critical contribution to India’s apparel and export economy. He warned that the fallout would not be limited to trade figures but could trigger long-term job losses and social distress unless the Centre acts decisively.
Exporters and industry bodies have echoed these concerns, citing cancelled orders, mounting inventories and the risk of shutdowns, especially for smaller units. Labour unions have also cautioned against rising unemployment in women-dominated sectors.
The Chief Minister proposed joint negotiations with the US for exemptions or phased tariff reductions, while also urging diversification into European and ASEAN markets, even as exporters insist that immediate relief is crucial.