US tariffs cast a shadow on Moradabad’s brass industry
Trump’s 50% tariffs on Indian goods have halted ₹2,000 crore in orders from Moradabad where over 500,000 people are directly or indirectly engaged in the brass industry, which is now seeking relief from the govt
Uttar Pradesh’s famed “Brass City” Moradabad is facing an unprecedented crisis. The 50% tariff imposed by U.S. President Donald Trump on Indian goods, in retaliation for India’s oil purchases from Russia, has brought the city’s thriving brass export industry to a standstill. The tariffs, which doubled from an initial 25% levy introduced earlier in August, have led to the cancellation or suspension of orders worth nearly ₹2,000 crore, according to industry insiders. With nearly 75% of Moradabad’s ₹10,000 crore annual exports heading to the United States, the impact is devastating.
Over 500,000 livelihoods, including skilled artisans, small-scale manufacturers, and labourers, are now at risk, and several small industries teeter on the brink of closure.
Exporters report that a product priced at $20 now costs $30 upon entry into the US, confusing buyers and prompting cancellations. Orders worth more than ₹300 crore have already been cancelled, with another ₹150 crore in business is shifting to competitors in Vietnam, China, Turkiye, and Mexico.
“This is a death sentence for small exporters like us,” says Rajesh Kumar, an MSME owner whose firm relies on the US for 85% of its revenue. His unit, which employs 70 artisans using traditional techniques, now sits idle, with finished goods piling up in warehouses.
“Every piece is touched by human hands, crafted with pride. But now, buyers say our products are too expensive overnight. If this continues for even a quarter, most of our artisans will lose their jobs.”
According to joint commissioner (Industries) Yogesh Kumar, the city’s handicraft sector, dominated by metalware and comprising over 75,000 units and 2,500 active export houses, is largely MSME-driven.
“In the last financial year, Moradabad recorded exports worth ₹10,391 crore, mostly to the US. Exports to Gulf and European countries have also grown significantly,” he said.
RICH ARTISAN HERITAGE
For over a century and a half, Moradabad has been a global leader in brass and handicrafts, exporting everything from ornate candle holders and vases to intricately designed bowls and stands. The rhythmic clanging of hammers on metal has long symbolised a proud artisan heritage in the city.
The escalation began in early August when Trump announced reciprocal 25% tariffs on imports from about 70 countries, including India, under his “America First” agenda to protect domestic manufacturing and address trade imbalances. The real blow came on August 27, when an additional 25% duty—explicitly linked to India’s oil imports from Russia—pushed the total to 50%, one of the highest rates imposed on any trading partner.
The US Department of Homeland Security confirmed the levies apply to goods “entered for consumption” after midnight on that date, directly affecting brass handicrafts under categories like metalware and decorative items.
‘LOSSES SEVERE’
Satyapal, a veteran exporter, explained, “In US shopping stores, there’s a dedicated shelf for handicraft samples. Customers browse, select and place orders. If our goods don’t reach the US, those shelves will remain empty. Store owners will replace our products with alternatives. If our items aren’t even on display, how will customers buy them? Trump’s tariffs are a direct threat to our business.” He emphasised that the initial 25% tariff has now doubled to 50%, compounding the crisis.
Naveed Ur Rehman, president of the Moradabad Handicraft Exporters Association, echoed the desperation: “The losses are so severe that running factories or exporting goods has become impossible. Even before this, we were competing with China’s cheaper products. We survived in the US market only because Indian handicrafts involve detailed manual work. But every product here is labour-intensive, and we were already struggling. With such high tariffs, exporting is no longer viable. The US is our biggest market, the largest buyer of our goods. If exports to the US stop, we cannot compensate through other countries, as one-third of our supply goes there.”
Gopal Mehta, divisional secretary of the Indian Industries Association (IIA), outlined the scale of the crisis: “Moradabad’s economy and that of surrounding areas depends heavily on brassware and handicrafts. About 75% of exports go to the US, with the remainder heading to Gulf nations. In addition to thousands of home-based units, around 1,500 major factories operate here, directly employing 2.5 lakh people. Their livelihoods are entirely tied to these factories. With rising tariffs, nearly 75% of India’s brass business appears to be halting. Buyers want cheaper products, and due to tariffs, goods have become 50% more expensive. Currently, all consignments are on hold. For containers already shipped to the US, we don’t even know whether the tariffs will apply. There’s no clear information. I would say the industry is suffering from an economic disease as dangerous as ‘Corona’.”
The economic fallout is severe. Hundreds of thousands of jobs are at immediate risk, including 1.5 lakh (150,000) artisans and factory workers, plus an additional 3.5 lakh (350,000) individuals from nearby districts who are directly or indirectly connected to the sector. Mehta warns of a potential 50% drop in global shipments, which could thrust nearly 200,000 people into unemployment. “Several firms have already begun laying off workers,” he added.
While larger exporters may pivot to Europe or the Gulf, smaller units lack the resources to adapt, risking closures and the erosion of generational skills passed down through families. The ripple effects extend beyond job losses. Brass production depends on copper and zinc, whose prices have surged 15–25% due to related Section 232 tariffs under the Trade Expansion Act of 1962. Buyers are now requesting tariff-free alternatives, such as products that avoid aluminum or steel components.
UNCERTAIN FUTURE
Workers, many from the lowest strata of society, face an uncertain future. Mohd Zulfiqar, a worker in an export company, shared his plight: “Our salary comes on the seventh of every month. That same day, we pay for essentials—ration, milk, and other dues. For the rest of the month, we buy everything on credit and repay it with the next salary. If the handicraft industry collapses, workers like us will be directly affected. Most of us belong to the lowest social strata. We can’t do heavy labour, nor are we educated. We are artisans, learning by observing each other.”
Artisan Shakeel Ahmad added, “My family has done this for generations, but with low wages and now this crisis, my sons won’t continue if there’s no future.” Satyapal warned, “Even if the US rolls back tariffs six months later, the damage will be done. By then, China will have captured the market, and Indian exporters will face an uphill battle to reclaim lost business. Ahead of Christmas, the peak season, orders are being cancelled and shipments worth ₹2,000 crore are on hold. The government must intervene.”
In Moradabad’s narrow bylanes, where workshops buzzed just weeks ago, silence now reigns. “We’re not factories; we’re preservers of heritage,” says Mohd Naseem, echoing the pleas of small exporters. “Big firms might relocate, but we’ll lose our soul.”
Ali added, “We plan exports a year in advance. Planning for 2026 should begin now—developing samples, securing approvals, designing products, fixing prices in meetings, and scheduling orders. But after Trump’s tariffs, planning for 2026 hasn’t even started. The government must provide relief to keep the export business alive.” Yet, glimmers of resilience remain. Exporters like Zeeshan Ali, whose unit turned over ₹5 crore last year, are exploring diversification into Europe and Southeast Asia. Some are investing in high-value, custom designs and digital marketing. “We must innovate—upgrade to CNC machines and focus on quality,” advises industry expert Hamid Hussain.
For Moradabad’s artisans, survival now depends on resilience and support. The city’s brass legacy, which was shaped by pioneers like Mohammad Yar Khan, who laid its foundations in 1860 and brought it global acclaim at the 1875 British Empire Exhibition, now hangs in the balance. The question remains: will tariffs crush a centuries-old tradition, or spark a renaissance in Indian craftsmanship?
