Trade Tensions Escalate: US Imposes 25% Tariff on Indian Goods

In a dramatic escalation of trade tensions, the US announces a 25% tariff on Indian goods, citing India's high tariffs and ties with Russia. The move comes amid ongoing negotiations and political backlash from Indian leaders.


Devdiscourse News Desk | Updated: 31-07-2025 10:07 IST | Created: 31-07-2025 10:07 IST
Trade Tensions Escalate: US Imposes 25% Tariff on Indian Goods
Congress MP Pramod Tiwari (Photo/ANI). Image Credit: ANI
  • Country:
  • India

The United States has announced a 25% tariff on Indian goods, escalating trade tensions between the two countries. The announcement follows earlier tariffs and comes amidst continuing negotiations over trade policies. US President Donald Trump declared the move during a press conference, citing India's high tariffs and non-monetary trade barriers.

President Trump argued that India, while a friend, has maintained trade practices that significantly disadvantage US businesses, referring to India's tariffs as among the highest globally. The decision also involves penalties related to India's purchase of Russian oil, part of broader US measures addressing its trade deficit and geopolitical concerns.

In India, the announcement has been met with criticism from opposition figures. Congress MP Pramod Tiwari accused Prime Minister Narendra Modi of not holding the US accountable, sparking a walkout in the Upper House. As both nations continue negotiations, this situation might profoundly impact diplomatic and economic relations, with significant implications for global trade dynamics.

(With inputs from agencies.)

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