US Tariffs have come into effect on Aug 27, already showing an impact on numerous sectors, including textiles, gems, automobiles and electronics, etc, but the impact has been hurting Indian Tea exports too, as it is facing some order cancellations from US buyers. However, these losses could be made up by increasing shipments to newer markets such as China.
The Indian Tea Association raised concerns regarding Indian Tea Exports
There is no doubt in this fact that the US is a significant market for Indian Tea. In 2024, India’s tea export to the US was around 17 million kgs. Not only this, in 2025 till May, the tea export to the US stood at 6.26 million kgs. The Indian Tea Association (ITA) has raised its concern about the high tariff imposition by the Trump administration on imports from India, stating that it is likely to impact Indian tea exports to the United States. Anshuman Kanoria, Indian Tea Exporters Association Chairman, stated that in the present situation, Indian tea exports to the United States will definitely be hampered. Several export orders are likely to be cancelled due to the stiff duty on imports from India. There have already been some cancellations of previous orders by some of the buyers in the US. Different buyers are taking different approaches depending on their buying capacity and in what segment they are in. Also, there has been pressure on us to decrease prices”.
The Chinese market could be a major one for Indian tea exports
The Chinese market could be a major market for teas, and there is a substantial opportunity for Indian exporters to escalate shipments there as the relationship between the two countries is improving,” said ITA in a statement