Gems and jewellery sector stocks were trading mix in Thursday’s session despite US impose a 50 per cent tariff on gems and jewellery imports.
Tata Group’s Titan share price rose as much as 1.15 per cent to ₹3,635.20, whereas, Kalyan Jewellers shares were up 1.34 per cent.
Among other jewellery stocks, Senco Gold share price were down 0.40 per cent, Bluestone Jewellery slided 1.37 per cent, Sky Gold and Diamond was down 1.57 per cent, Shanti Gold 1.29 per cent on Thursday, August 28.
The US decision to levy a 50 per cent tariff on gems and jewellery imports from India has dealt a significant blow to the nation’s export-driven sector, raising concerns over job losses, weakening global competitiveness, and putting pressure on bilateral trade relations. Industry experts have urged the government to take immediate steps to protect the industry.
According to SBI Research, the Gems and Jewellery sector, valued at $10 billion and accounting for 40% of the US market, now faces a 50 per cent tariff. This could benefit countries like Switzerland, where the tariff rate is lower at 39 per cent.
The US remains the largest market, making up nearly one-third of the industry’s annual exports worth $28.5 billion. With tariffs rising from 25 per cent to 50 per cent, exporters are bracing for significant disruptions.
Here’s what experts are saying
Gem & Jewellery Export Promotion Council (GJEPC) Chairman Kirit Bhansali was quoted as saying by PTI that this steep tariff poses a major setback for the sector.
“The US is our largest market, and exports during April-July 2025, had already declined 32 per cent year-on-year to USD 2.12 billion. With the new tariff in place from August 27, we fear exports to the US could fall by over 75 per cent, impacting polished diamonds, jewellery, and coloured gemstones alike,” Bhansali told PTI.
On the other hand, Prithviraj Kothari, Managing Director of RiddiSiddhi Bullions Limited (RSBL), said that This may lead to a decline in export volumes, order cancellations, and margin pressures for exporters.
“ The imposition of a 25% U.S. tariff on Indian jewellery exports could significantly impact the sector by reducing its price competitiveness in the American market, which is one of India’s largest export destinations for gems and jewellery. This may lead to a decline in export volumes, order cancellations, and margin pressures for exporters. Small and medium-sized enterprises (SMEs), which form a large part of the sector, could be hardest hit. The industry may also face job losses and liquidity challenges. To mitigate the impact, exporters may explore alternate markets, focus on value-added products, or seek government intervention for relief,” Kothari said.
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