India Presses U.S. to Drop Proposed 12.5% Section 301 Tariff on Imports

India has formally urged the U.S. to withdraw a proposed 12.5% Section 301 tariff, arguing insufficient evidence. If enacted, the measure would raise costs for Indian apparel and consumer-goods exporters serving U.S. retail markets, pressuring margins and sourcing decisions near-term.

— Filed Wed, 8 Jul, 2026, 17:13 IST · Source Apparel Resources India · Updated

India has urged the US to withdraw a proposed 12.5% Section 301 tariff on Indian imports, citing insufficient evidence. The measure could materially affect Indian apparel and consumer-goods exporters supplying US markets.

Why this matters

The dispute targets Indian apparel and consumer-goods exporters that supply U.S. retail markets, putting sourcing strategies and margins at risk if the 12.5% duty proceeds.

Retail-company signals accelerating, up +661000% QoQ.