Trump tariff impact contained: Amazon claims milestone, says it helped Indian sellers hit $20 billion in exports

Trump tariff impact contained: Amazon claims milestone, says it helped Indian sellers hit $20 billion in exports

Amazon announced on Monday that it has helped Indian vendors exceed $20 billion in total exports, including nearly $7 billion this year, as small operators strive to counter the effect of new US import duties imposed in August.

The e-commerce giant stated that it remains confident in its long-term growth and has set a new objective of reaching $80 billion in exports by 2030, fuelled by rising worldwide demand for cosmetics, toys, furniture, and clothing (apparel).

Thousands of Indian artisans and small businesses were affected after the US doubled duties on certain goods to 50%, commencing on 27 August. The duties were introduced in response to India’s purchases of Russian oil.

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Amazon executives maintained that the broader export impact remains contained.

“We focus on controllable inputs, not short-term trade headwinds,” said Srinidhi Kalvapudi, the head of Amazon Global Selling India, in an interview, reported Reuters.

“Our long-term story is structural, not cyclical – and for e-commerce exports, it’s still day one.”

US remains foremost destination for Indian vendors on Amazon

Amazon’s Global Selling programme, which was unveiled in 2015, allows Indian small- and medium-sized enterprises to sell to shoppers in 18 global markets, including the US, the United Kingdom, Germany, Canada, and the United Arab Emirates.

The US is the foremost destination for Indian vendors on Amazon, followed by Britain, Germany, and Canada, Kalvapudi said.

According to data from India’s Commerce Ministry, exports to the US fell to $5.43 billion in September from $6.87 billion in August, as duties impacted shipments of textiles, prawns (shrimp), gems, and jewellery.

Amazon’s exporter base has grown to approximately 200,000 vendors, a rise of 33% in a year, spanning 28 states and seven union territories including Delhi, Uttar Pradesh, Tamil Nadu, Maharashtra, Rajasthan, Gujarat, and Haryana, Kalvapudi noted.

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The milestone of $20 billion in exports was achieved ahead of the end-2025 target, spearheaded by increasing shipments from smaller cities such as Panipat, Bhadohi, Karur, and Erode, the Amazon executive said.

“What’s most inspiring is that exports are no longer limited to metros – small towns are now major contributors,” Kalvapudi said.

Categories such as health, beauty, home, clothing, and toys continued to expand by more than 35% a year, he said.

“These reforms will compound over time as Indian brands expand globally,” Kalvapudi added.

In 2024 alone, Panipat and Karur together dispatched goods worth nearly $160 million, underlining the rise of smaller manufacturing centres (hubs).

India’s 2023 trade policy and the Reserve Bank of India’s simplified e-commerce export rules have supported this expansion.

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