Textile, Leather and Jewellery Stocks Fall as 50% US Tariff Takes Effect

Shares of textile, leather and jewellery companies are falling today as a result of the 50% tariff on Indian goods by US President Donald Trump. The additional 25% tariff over the previous 25% tariff takes effect from today, negatively affecting textile, leather and jewellery shares.

Heavy Selling in Textile and Apparel Shares

Textile and apparel shares are the worst hit as of 12:50 PM. Raymond Lifestyle has fallen by 2.60%, Siyaram Silk Mills by 1.59%, Welspun Living by 0.31%, Trident Limited by 0.76%, and Alok Industries by 0.65%.

Leather And Footwear Shares Under Pressure

The leather and footwear shares are also witnessing a fall due to increased sell-off by investors. Zenith Exports is down by 1.46%, Relaxo Footwear by 1.11%, Liberty Shoes by 0.67%, and Campus Activewear by 0.27%.

Jewellery Shares Join The Decline

Jewellery shares have also joined the overall decline and major shares belonging to the sector are witnessing a fall. Uday Jewellery Industries is down by 0.94%, Tribhovandas Bhimji Zaveri by 1.03%, P N Gadgil by 0.37%, and Senco Gold by 0.19%.

US Tariff Shock Key Trigger

The total of 50% tariff, applicable from today, is the key trigger for the decline of shares. It is because the tariff is expected to negatively impact Indian exports to the US, worth $48 billion. Sectors such as gems and jewellery, textile and clothing, leather and footwear, animal products, chemicals, mechanical machinery and electronics are expected to face the highest tariff burden.

Broader Market Snapshot

At the same time (12:50 PM), Nifty is down by 0.50%, or 123.35 points and is trading at 24,588.70. The BSE Sensex is also down by 0.61%, or 496.45 points and is trading at 80,290.09.

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