India’s flourishing gem and jewellery sector, a vital component of its export-driven economy, faces uncertainty as the United States introduces its “Fair and Reciprocal Plan” on Trade. Announced by President Donald Trump on 13th February 2025, this policy aims to address trade imbalances by imposing reciprocal tariffs equivalent to those levied on American goods by other nations. For India, a key supplier of gems and jewellery to the U.S., this could mean new tariffs ranging between 5% and 20% on nearly $10 billion worth of annual exports. If implemented, the move could disrupt the industry, which employs millions across the country.
