Chennai: Nearly two months after the US imposed 50% tariffs on Indian imports, the knitwear hub of Tiruppur in Tamil Nadu is struggling, as goods worth between Rs 1,500 crore and Rs 2,000 crore remain stuck in factories, ports, and warehouses.

Cash flow has dried up, fresh orders from American buyers have stopped, and many factories, especially those in the MSME category, fear they might have to scale down production, which could result in layoffs if the situation does not improve in the next 2-3 months.

Exporters who deal exclusively with the US market are the worst-affected, with buyers seeking steep discounts of 20-25% for finished goods.

While financially sound companies have been able to negotiate and bear the losses to an extent, those in the MSME sector continue to suffer, as agr

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