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<h1>Tariff increase on Indian exports to US threatens competitiveness of labour intensive sectors, prompting urgent calls for trade remedies.</h1> A new US tariff regime effective August 27, 2025 imposes a steep additional duty on a broad range of Indian products entered for consumption or withdrawn from warehouse on or after the effective time, while exempting certain categories; it concentrates on labour intensive export sectors such as textiles, gems and jewellery, shrimp, leather and footwear, carpets and furniture, prompting front loading of shipments, projected export declines, employment risks, and calls for compensatory policy measures and clarity on bilateral trade arrangements.