President Trump announces 25% tariff on imports from India
The president's trade move comes before his Aug. 1 deadline for higher reciprocal tariffs on goods from nearly 180 countries across the world.
WASHINGTON − President Donald Trump said he plans to impose a 25% tariff on imports from India and levy an additional "penalty" on the country for buying military equipment and oil from Russia.
Trump announced the tariff July 30 on Indian goods in a post on his social media app Truth Social two days before his Aug. 1 deadline for higher reciprocal tariffs on goods from nearly 180 countries across the world takes effect and during a big week of economic news tied to interest rates.
“Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country,” Trump wrote on Truth Social.
India's new tariff rate, set to begin Aug. 1, is only slightly lower than the 26% reciprocal tariff Trump already threatened for India.
Trump did not provide details on the additional penalty, but it appeared to be a reference to secondary tariffs the president has vowed to place on countries that trade with Russia.
Trump said the penalty is response to India buying "a vast majority of their military equipment from Russia" and being "Russia’s largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE − ALL THINGS NOT GOOD!"
India was the 10th-largest trading partner of the United States in 2024, according to the U.S. Census Bureau. Some of the top goods the United States imports from India include pharmaceuticals, pearls and precious stones, petroleum products, telecom instruments and ready-made garments.
Trump hinted he had landed on a 25% tariff for India during a gaggle with reporters July 29 on Air Force One on his way back to Washington from Scotland, where he had spent four days at his golf properties.
Since April, companies importing goods from India and most other countries into the United States have paid a baseline 10% tariff.
Steeper "reciprocal" tariffs Trump initially imposed in early April ‒ but soon after paused for 90 days amid market turbulence ‒ had been set to go back into effect July 9. That included a 27% tariff on goods from India. But Trump on July 7 extended the deadline to Aug. 1 to continue negotiations with some countries.
Ahead of the deadline, Trump has sent letters to leaders of several countries alerting them to new higher tariff rates. His administration also has announced trade deals with Japan, Vietnam, Indonesia and the European Union. The agreements include tariffs of 20% for Vietnam, 19% for Indonesia, 15% for the EU and 15% for Japan.
Meanwhile, Trump and Chinese officials have made progress toward extending a 90-day tariff truce the two sides struck in May in which both countries held off on imposing massive, triple-digit tariffs on each other. Trump, however, has said he has not made a decision.
Trump has argued that his sweeping tariffs are needed to rejuvenate domestic U.S. manufacturing in key sectors.
Despite backing off past tariff threats, Trump reaffirmed on social media that he wouldn't extend the deadline.
“THE AUGUST FIRST DEADLINE IS THE AUGUST FIRST DEADLINE − IT STANDS STRONG, AND WILL NOT BE EXTENDED. A BIG DAY FOR AMERICA!!!” Trump wrote on Truth Social.
Reach Joey Garrison on X @joeygarrison.