World8/25/2025BBC

'How will I pay workers?': Indian factories hit hard by Trump's 50% tariffs

'How will I pay workers?': Indian factories hit hard by Trump's 50% tariffs

The article discusses the impact of the 50% tariff imposed by the Trump administration on Indian exports to the US. BBC correspondents visited various export hubs in India to gauge the challenges faced by business owners. The tariffs have severely affected Indian factories, particularly those in the textile and jewelry industries, which rely heavily on the US market. Factory owners expressed concern over their ability to pay workers and maintain operations due to the significant drop in orders and revenue. The article highlights the cascading effect of the tariffs, which has led to job losses and production cuts. Small and medium-sized enterprises, which make up a significant portion of India's export-oriented industries, are particularly vulnerable to the economic disruption. While the Indian government has taken measures to support affected businesses, the article suggests that the long-term impact of the tariffs on the Indian economy remains uncertain. The situation underscores the broader challenges faced by developing economies in navigating the shifting dynamics of global trade policies.

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Source: BBCEnhanced summary
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