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August 8, 2025

Struggling with High US Tariffs? Here’s a Smarter Route for Exporters

India has long been one of the largest exporters to the United States, with goods ranging from textiles and jewelry to pharmaceuticals and engineering products. Yet, one of the biggest challenges exporters face is the heavy burden of tariffs and duties. For many small and medium businesses, profits shrink drastically before products even reach their American customers. Add in misclassified HS codes, strict compliance regulations, and labeling requirements, and the process becomes even more complex.
This is why many exporters are turning to the UAE as a strategic solution. The Emirates’ free zones, favorable tax policies, and world-class logistics infrastructure make it an attractive hub for re-exports. By setting up a company in Dubai, Indian exporters can often reduce tariff exposure, streamline operations, and strengthen their credibility in global trade.
For example, a textile manufacturer facing 15–20% duties when shipping directly from India could re-export through a UAE free zone, taking advantage of duty exemptions and faster shipping routes. Companies specializing in business setup, like Decisive Zone in Dubai, assist exporters with structuring their operations, ensuring proper HS code classification, and meeting compliance requirements. This kind of expertise minimizes costly errors, delays, or penalties while maximizing profit margins.
In today’s competitive landscape, the difference between struggling and scaling often comes down to strategy. While tariffs between India and the US remain a reality, leveraging the UAE’s advantages—combined with the right business setup guidance—can turn these challenges into growth opportunities.