Former US President Donald Trump announced a sweeping 25% tariff on Indian goods exported to the United States starting August 1, citing India’s continued reliance on Russian military hardware and oil, as well as what he called “obnoxious” trade practices.
In a post on Truth Social, the social media platform owned by Trump, the presumptive Republican presidential nominee described India as “our friend,” but warned that friendship could not excuse what he described as unfair trade behavior.
“While India is our friend, we’ve done relatively little business with them due to their extremely high tariffs — some of the highest in the world — and severe non-monetary trade barriers,” Trump wrote.
“They have also continued to buy a vast majority of their military equipment and energy from Russia, even as the world seeks to end the bloodshed in Ukraine. Therefore, starting August 1, India will face a 25% tariff, plus an additional penalty.”
Trump did not specify the size of the added penalty, but indicated it was in response to India’s defense and energy purchases from Moscow, as well as its closed markets to American goods, according to news reports.
The move comes just as US and Indian negotiators have been working to finalize a limited trade agreement. According to sources familiar with the talks, a “mini-deal” could be signed by September or October, aimed at reducing tariffs on key Indian exports like steel, aluminum, and auto parts.
Earlier today, Trump returned from a golf holiday in Scotland and told reporters, “India has been a good friend, but it charges more tariffs than almost any other country. You can’t run trade like that.”
Despite recent signs of progress, discussions have stalled on issues such as dairy and agricultural imports — sectors that remain politically sensitive in India.
US Trade Representative Jamieson Greer acknowledged earlier this week that more time is needed to assess India’s willingness to open its market. Merchandise exports from India to the US surged 22.8% to $25.5 billion during the April–June quarter this fiscal year, while imports rose 11.7% to $12.86 billion.
Last month, Trump hinted a broader deal with India was coming soon: “We’re going to have access to India. We had no access before — now we do, because of the tariffs.”
Though sources close to the US administration denied that formal conditions were placed on India, Trump’s latest move suggests increasing pressure on New Delhi to recalibrate its trade and geopolitical alignments ahead of the US presidential election.
