31 Jul 2025, 04:44
Trump announced a 25% tariff on imports from India
- The USA will impose a 25% tariff on imports from India starting September 1.
- Trump expects a reduction in tariffs from the Indian side.
- The agreement with India could increase bilateral trade to $500 billion.
Washington, July 31, 2025 — President of the USA Donald Trump announced that starting Friday, a 25% tariff will be imposed on goods imported from India. This decision comes amid ongoing trade negotiations between the USA and India.
Trump expressed hope that India may reduce its high tariff rates, which, according to him, are among the highest in the world. He noted that India traditionally purchases most of its military technology from Russia, and is also the largest importer of Russian energy. This, according to Trump, complicates the situation regarding the war in Ukraine.
The Indian government, in response to Trump's announcement, stated that it is studying the implications of the new tariffs and reaffirmed its commitment to a fair trade agreement.
At the same time, Trump also signed agreements with South Korea and Pakistan, which foresee a reduction in tariffs for both countries. In particular, the agreement with South Korea provides for a reduction of tariffs to 15% on Korean goods.
The increase in tariffs on imports from India may negatively impact Indian exporters, especially in sectors such as textiles, footwear, and furniture, as their products become less competitive compared to goods from Vietnam and China.
Negotiations between the USA and India have been ongoing for several months, and both sides are eager to finalize an agreement that would increase bilateral trade to $500 billion by 2030. Currently, the USA has a trade deficit with India amounting to $45.7 billion.
Tags: USA/Economy