The Indian leather and footwear industry got a big relief on 3 February 2026. The US cut tariffs on Indian goods to 18% from a steep 50%. This move came after nearly five months of pressure on exporters since higher duties were imposed in August 2025.
Building on this development the Council for Leather Exports has thanked Shri Narendra Modi Hon’ble Prime Minister of India and Shri Piyush Goyal Hon’ble Union Minister for Commerce and Industry for finalising the trade deal with the US.
The council thanks the Government of India for its policies and support measures that have made India a favorite destination for sourcing and investments.
“This trade deal will immensely benefit the MSMEs and will aid in envisaged generation of additional employment opportunities for 2.2 million people in next 5 years in our sector.”
– Ramesh Juneja, Chairman, CLE
The council said the reduction of the US reciprocal tariff from 50% to 18% gives India a strong competitive edge in the American market. It expects exports of Indian leather, leather products and footwear to the US to rise from $1.26 billion in 2024 to $4 billion by 2030.
This momentum is also expected to support India’s broader export ambition. The industry is targeting total exports of $14 billion by 2030 with the US and the recent FTA’s with UK and EU playing key roles in this growth story.
Related News: Relief for Indian Leather & Footwear Exporters as Trump Cuts Tariff from 50% to 18%
