With Trump tariffs on hold, Panipat exporters get cracking to execute Rs 3,000 crore orders

Following President Donald Trump’s decision to put reciprocal tariffs on hold for 90 days, exporters in Panipat are heaving a sigh of relief. The exporters say the latest US decision would help them ship orders worth Rs 3,000 crore easily.

Trump had announced a reciprocal tariff of 26 per cent on Indian exports, making exporters jittery and uncertain about the future of their business. The adverse impact of the US President’s reciprocal tariffs is visible as overseas buyers, especially those from the US, have started cancelling or putting the orders on hold. Even exporters have received mails from the buyers seeking 15-20 per cent discounts.

Globally known as the ‘textile city’, Panipat accounts for exports to the tune of 18,000 crore, of which around 60 per cent is US-bound.

Over 400 exporters in Panipat export carpets, bath mats, floor top items, cushions, cushion covers, bed covers, rugs and other products worth around Rs 10,000 crore to big stores like Walmart, Target, Costco, Kroger and others to the US. The tariffs had to be implemented from Thursday, but Trump announced a 90-day stray, after which the exporters got an immediate relief.

Rakesh Jain, an exporter, said it was a big relief to exporters in Panipat as the orders which were in the pipeline would be shipped within 90 days. The Government of India is also very serious about the situation.

Jain, along with Ashok Gupta, Vice-President, Panipat Exporters’ Association, met Piyush Goyal, Union Minister for Commerce and Industries, in Delhi on Wednesday over the issue.

Vinod Dhamija, Chairman, Haryana Chamber of Commerce and Industries (HCCI), Panipat chapter, said the exporters were receiving mails regarding putting orders or production on on hold, and even cancellation of orders, he said. The buyers also started demanding discounts of 15 to 20 per cent, Dhamija said.

But, with the new announcement of a stay on the reciprocal tariffs for 90 days, the exporters are making the most of the conducive situation and executing the orders in hands and final stages of completion, he said.

Haryana Tribune