Welspun Living, Raymond, Arvind, Pearl Global Crash Up to 7% as Trump’s 25% Tariff Jolts Indian Textile Stocks

The stock market was rattled on Thursday after U.S. President Donald Trump, on July 30, announced a 25% tariff on Indian exports. This triggered a broad sell-off in sectors dependent on export, while the broader indices also fell sharply. Sensex plunged nearly 800 points, while the Nifty 50 dropped by over 200 points at the opening bell.

But it was the textile sector that bore the brunt, with major stocks crashing up to 8 to 9% intraday. Companies like Alok Industries, Pearl Global, Welspun Living, Arvind, Vardhman Textiles, Indo Count, Kitex Garments, and Sangam India all are seeing sharp declines in the counter.

As of 1:00 PM, both Sensex and Nifty rebounded into the green. The Sensex was up 141 points at 81,623, while the Nifty 50 was trading at 24,900.25, higher by 0.18%.

Why the Textile Sector Is Under Pressure?

The U.S. remains India's largest export destination for textiles and apparel, making the sector particularly sensitive to trade tensions.

According to the Ministry of Commerce and Industry, the textile and apparel industry contributes 2.3% to India's GDP, 13% to industrial production, and 12% to exports. India exported textile goods worth $34.4 billion in FY24. Of this, 42% was apparel, 34% raw/semi-finished materials, and the rest non-apparel finished products.

"The proposed 25% US tariff is a significant challenge for exporters, particularly MSMEs, as it may sharply increase the landed cost of Indian products in the US and reduce their competitiveness, especially in sectors like textiles, leather, auto components, and generic pharmaceuticals. On the other side, this is an opportune time for Indian exporters to move up the value chain, for example, shifting from basic textiles to technical textiles or from low-end to speciality pharma manufacturing, besides further reinforcing their "China-plus-one" appeal," said Sanjay Tripathy, CEO and co-founder of BRISKPE.

Top 10 Textile Stock Performance on July 31

Here's how leading textile stocks are performing today after the tariff announcement:

Welspun Living shares took a sharp hit and are currently trading at Rs. 126.13, down by 5.04%.

Alok Industries shares also declined 2.56% to Rs. 19.00 from the previous close.

Arvind Ltd stock dipped by 2.86% or Rs. 9.45 and were trading at Rs. 321.50 at the time of writing.

Bombay Dyeing shares opened in the red at Rs. 167 but showed slight recovery by mid day. It is currently trading at Rs. 171.89, down 0.36%.

Grasim Industries, though not a pure-play textile stock, is a major player in the sector. Its shares declined marginally by 0.37% to Rs. 2,748.40. Over the past five days, the stock has corrected by around 1.04%.

Indo Count Industries faced a substantial decline of 4.30%, with the stock currently trading around Rs. 270.

Page Industries, the maker of Jockey products in India, was one of the few gainers in the textile counter. The stock rose 0.72% and was trading at Rs. 48,665 at the time of writing.

Vardhman Textiles shares also tumbled by 3.19% to Rs. 443.75, a drop of Rs. 14.60.

Pearl Global, which operates in garment exports, witnessed a steep correction of 7.32% and were trading at Rs. 1,519.00.
Trident Ltd. shares slipped 0.98% to Rs. 30.38 today. Over the past five sessions, the stock has declined nearly 6.81%.

Trump's 25% Tariff Impact Ahead

"Even as the US announces a 25% tariff on Indian goods, markets have largely anticipated this and priced in much of the potential impact, limiting downside risk. While export-focused sectors like textiles, unbranded-generic pharmaceuticals, and electronics may feel short-term pressure, India's broad-based growth engine and stability will cushion these effects as US exports account for only around 2% of India's GDP. Policymakers will swiftly adapt their strategies, support exporters, and explore new global partnerships. With robust internal demand, we are confident that India can navigate this challenge effectively and continue to pursue long-term growth opportunities." Said Robin Arya, smallcase manager and founder of GoalFi