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31 Jul 2025, 20:43

Trump Raises Tariff on Indian Goods to 25%

  • Trump announced an increase in tariffs on Indian goods to 25%.
  • The Indian government responded by stating that they are studying Trump's comments.
  • The increased tariffs could hinder trade negotiations between the USA and India.

This is reported by ABC News, NBC News.

On July 31, 2025, President Donald Trump sharply criticized India for its trade policies, announcing an increase in tariffs on Indian goods to 25%. This decision was announced via social media and the announcement has already caused a stir.

Trump believes that India's high tariffs, which are among the highest in the world, create barriers to American companies' access to the Indian market. Over the past few months, he has also criticized India for purchasing Russian oil during the war in Ukraine.

In response to Trump's statement, the Indian government announced that they are "taking note" of the President's comments and will study their implications. India is an important trading partner for the USA, with trade between the countries last year amounting to approximately $129 billion.

The increase in tariffs on Indian goods could complicate ongoing negotiations regarding a trade agreement between the USA and India, which have been ongoing for several months. Trump indicated that tariffs on India would be higher than those applied to the European Union and Japan.

In addition, Trump announced an extension of deadlines for achieving trade agreements with other countries, such as Mexico, by 90 days. This was done in relation to ongoing trade negotiations with many countries.

Tags: USA/Politics/Economy

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