Trump Levies Hefty Tariffs on Indian Imports Amid Trade Talks

US President Donald Trump announced additional tariffs on Indian imports as of August 1, blaming India's high tariffs for trade imbalances. These new tariffs aim to penalize India's purchase of Russian crude oil and military equipment, affecting previously negotiated trade agreements and potentially impacting various sectors.


Devdiscourse News Desk | New Delhi | Updated: 31-07-2025 11:21 IST | Created: 31-07-2025 11:21 IST
Trump Levies Hefty Tariffs on Indian Imports Amid Trade Talks
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In a surprising move, US President Donald Trump unveiled a 25% additional import duty on Indian goods, starting August 1, as part of a strategic decision to penalize India for its purchases of Russian crude oil and military equipment. The imposition has stirred controversy amidst ongoing trade agreement negotiations between the two nations.

The newly announced tariffs are set against a backdrop of existing tariffs, further complicating India-US trade relations. As it stands, Indian goods like textiles already face steep duties, set to rise to 31-34%, potentially compounded by unspecified penalties. This decision arrives as the US aims to address its trade deficit with India, which reportedly reached USD 41 billion last year.

While critics argue that the tariffs could jeopardize crucial economic ties, Trump insists the move is necessary to balance what he perceives as an inequitable trading relationship. Indian exporters, especially those dealing in garments, gems and jewellery, and other labor-intensive goods, may face severe impacts as new duties come into effect.

(With inputs from agencies.)

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