India's Export Competitiveness
Gems, Jewellery, and Electronics
Two of India's largest export sectors to the US — gems & jewellery and electronics — were highlighted as vulnerable to Trump tariffs.
- Gems and Jewellery: India exports approximately $9 billion worth to the US annually. The sector employs ~5 million workers, mostly in Gujarat (diamonds) and Maharashtra (gold jewellery). The Gem and Jewellery Export Promotion Council (GJEPC) is the nodal export body.
- Electronics: India's electronics exports have grown sharply post-PLI — Apple (through Foxconn and Tata) now assembles iPhones in India, with significant exports to the US. Total electronics exports ~$14 billion to the US.
- Both sectors are labour-intensive — tariff protection directly affects employment in politically sensitive states.
- India's Labour Cost Advantage: India's manufacturing wages are broadly competitive with China (~$250-300/month), making it a viable alternative supply base for US companies.
- A 25% US tariff on Indian gems/jewellery would effectively eliminate India's price competitiveness against tariff-exempt countries.
● Tracked since February 02, 2026 · last seen May 21, 2026 · updates as the daily brief publishes
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