The US – India trade agreement represents a meaningful reset for India’s textile sector, bringing long-awaited clarity after an extended period of tariff-related uncertainty. Elevated duties had weighed on demand from the US India’s largest export market but the reduction of reciprocal tariffs to around 18% materially improves cost competitiveness. With the US accounting for nearly 28% of India’s textile and apparel exports, this easing of trade barriers provides a clear pathway for a gradual recovery in demand. This development is particularly positive for Sanathan Textiles, given its diversified presence across polyester yarns, cotton yarns, and yarns for technical textiles, all of which have strong relevance in the US market.
As US buyers reassess and rebalance their sourcing strategies, Indian manufacturers are positioned to gain a relative advantage over competing supplier countries, reinforcing India’s role in global supply chains. This shift is expected to translate into a steady revival in order flows, improved pricing discipline, and progressive margin stabilisation across the sector. Sanathan Textiles is well-prepared to scale up exports to the US, supported by strong logistics linkages and execution capabilities.
