tirsdag 6. mai 2025

India worried about Chinese 'dumping' as trade tensions with Trump escalate

The pace at 64-year-old Thirunavkarsu's spinning mill in southern India's Tamil Nadu state has noticeably slowed down. The viscose yarn – a popular material that goes into making woven garments – he produces, now sits in storage, as orders from local factories have dropped nearly 40% in the last month. That's because Chinese imports of the material have become cheaper by 15 rupees ($0.18; £0.13) per kilo and flooded Indian ports.

With Donald Trump imposing tariffs of up to 145% on Chinese goods going into the US, manufacturers in China have begun looking for alternative markets. India's textiles makers say they are bearing the brunt of the trade tensions as Chinese producers are dumping yarn in key production hubs. While China is the leading producer of viscose yarn, India makes most of the viscose yarn the country needs locally with imports only bridging supply gaps.