US rug importers are set to benefit from a sharp reduction in tariffs on Indian goods, easing cost pressures that have weighed heavily on the sector since mid-2025. President Donald Trump announced plans to cut tariffs on imports from India to 18%, down from 50%, following an agreement with Indian Prime Minister Narendra Modi that includes India reducing its purchases of Russian oil and lowering import taxes on US goods to zero.
© Ruletkka | Dreamstime
India has long been a key source of handwoven rugs for the US market, valued for their craftsmanship and design heritage. The previous tariff hike, introduced in August as a penalty for India's continued imports of Russian oil, significantly disrupted pricing and margins across the rug industry.
Industry leaders have broadly welcomed the move. Several manufacturers said the reduction would allow them to reassess pricing and restore stability across the supply chain, although some cautioned that full clarity on the implementation details is still required. Since the tariff increase, many companies had absorbed additional costs or introduced selective price rises to remain competitive.
The announcement has raised expectations that lower tariffs will support renewed investment in product development and help safeguard the long-term viability of the handmade rug category in the US market.
Source: www.homeaccentstoday.com
