Chennai, Dec 18: Tamil Nadu Chief Minister M.K. Stalin has written to Prime Minister Narendra Modi seeking urgent diplomatic intervention to resolve the 50 per cent tariffs imposed by the United States on Indian exports, warning that the move has triggered a deepening crisis across the State’s export driven industries.
In his letter, Stalin said the tariffs have resulted in a combined daily revenue loss of about ₹60 crore for exporters across various districts of Tamil Nadu, severely impacting the State’s economy and livelihoods dependent on the sector.
Describing Tamil Nadu as the backbone of India’s export ecosystem, the Chief Minister pointed out that the State accounts for 28 per cent of the country’s textile and apparel exports, employing nearly 75 lakh workers, and contributes close to 40 per cent of India’s leather and footwear exports, providing jobs to over 10 lakh people.
The impact has been particularly acute in key export hubs. Exporters in Tiruppur have reported losses of confirmed orders worth ₹15,000 crore, while production cuts across units have touched 30 per cent. Significant losses have also been reported from Coimbatore, Erode and Karur, with Small and Medium Enterprises facing what Stalin described as existential threats, many on the brink of closure.
The Chief Minister flagged growing labour distress, noting that wage deferments and workforce reductions have begun, affecting lakhs of families dependent on the textile and leather sectors. He added that leather and footwear clusters in Vellore, Ranipet and Tirupattur are facing similar setbacks, raising fears of prolonged unemployment.
Stalin also cautioned that international buyers are increasingly shifting orders to competing countries such as Vietnam, Bangladesh and Cambodia, which currently enjoy tariff advantages. Once global supply chains move, he warned, reclaiming lost markets would be extremely difficult, with youth and women workers likely to be disproportionately affected.
Terming the situation “urgent and grave,” the Chief Minister urged the Centre to prioritise the issue in bilateral negotiations with the US to revive market confidence and prevent the collapse of export clusters.
“The tariffs have translated into a combined daily loss of ₹60 crore in revenue,” Stalin said, adding that “Tamil Nadu, the backbone of India’s textile and leather exports, is bearing the brunt of the tariffs.” He warned that the crisis could spiral into a “humanitarian and economic disaster” if not addressed swiftly.
Stressing the need for timely intervention, Stalin said decisive action would not only safeguard industrial livelihoods in Tamil Nadu but also reinforce India’s credibility as a reliable global manufacturing base.
