Modi Government Plans Relief Package For Exporters Hit By Trump’s 50 Per Cent Tariffs: Report

The Centre has announced the rationalisation of Goods and Services Tax (GST) and is now preparing support measures for exporters impacted by steep US tariffs, reported NDTV.

The government may soon roll out targeted schemes to help sectors struggling under the 50 per cent tariff imposed by President Donald Trump last month, including a 25 per cent penalty linked to India’s purchase of Russian oil, NDTV reported, citing sources.

Textiles and apparel, along with gems and jewellery, rank among the worst-hit industries, where exporters are battling to remain competitive.

Exporters in leather, footwear, chemicals, engineering goods, agriculture, and marine products also face growing hurdles in international markets.

According to officials cited in the report, the relief package will likely prioritise:

• Tackling liquidity shortages for small exporters

According to the report, Prime Minister Narendra Modi’s government is considering a stimulus framework similar to the one extended to MSMEs during the COVID-19 crisis.

In parallel, the government is working to operationalise the Export Promotion Mission announced in the Union Budget to expand India’s global trade presence.

India’s exports to the US rose 21.64 per cent to $33.53 billion in the first four months of this fiscal year.

Nearly half of this trade remains outside the ambit of the 50 per cent duty.

The US accounted for about 20 per cent of India’s total goods exports worth $437.42 billion in 2024-25.

Please click here to add Swarajya as your preferred and trusted news source on Google.

Also Read: With Prime Minister Modi Drawing Red Line On Agriculture And Dairy, Trump Administration Defers August Trade Talks