Hit by the steep 50 per cent tariffs imposed by the US, India's textile exports declined 12.91 per cent in October 2025, pushing industry bodies to seek relief measures to arrest the fall in shipments, expected to exacerbate in the coming months. The US is the largest export market for India's textile and apparel industry. In 2024-25, the overall size of the textile and apparel sector is estimated at $179 billion, comprising a domestic market of $142 billion and exports worth $37 billion. 

The Confederation of Indian Textile Industry (CITI) urged the Reserve Bank of India to add spinning, weaving and processing units to the list of ‘eligible sectors’ for the RBI's Trade Relief Measures announced on November 14. Sanjay K Jain, former Chairman of CITI has said that the October decline is on expected lines. The US share of India's total textile and garments exports is about 30 per cent. The pipeline inventory is still being shipped out, but fresh orders have stopped coming in post-August. He said ‘we expect the decline in textile and apparel exports to continue and worsen to 15-20 per cent in November and December’. He observed that the recovery of India's textile and apparel exports is expected only 2-3 months after the proposed India-US bilateral trade agreement (BTA) comes into effect.

CITI Chairman Ashwin Chandran also said given that spinning, weaving and processing units are also facing pressure, adding these units to the list of sectors eligible under the trade relief measures would greatly benefit the overall growth and development of India's textile and apparel sector. He also stated that spinning, weaving and processing units being made eligible for the RBI's trade relief measures could ensure that these mills are not forced to cut back on operations, arguing that such a move on the part of the RBI could also reduce the risk of people being laid off or asked to work at lower wages at spinning, weaving and processing units.