US-India Trade War: President Donald Trump Announces 25% Tariff On Indian Imports Starting August 1

US-India Trade War: President Donald Trump Announces 25% Tariff On Indian Imports Starting August 1

Trump has announced that the United States will impose a 25% tariff on all Indian imports starting August 1, citing high trade barriers, a large trade deficit and India's continued purchases of Russian energy and military equipment.

Azhar KhanUpdated: Wednesday, July 30, 2025, 06:00 PM IST
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US President Donald Trump with Prime Minister Narendra Modi | APF

Washington / New Delhi, July 30: US President Donald Trump has announced that the United States will impose a 25% tariff on all Indian imports starting August 1, citing high trade barriers, a large trade deficit and India's continued purchases of Russian energy and military equipment.

Trump made the announcement on his Truth Social account. He said, “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."

He also said, "Also, they have always bought a vast majority of their military equipment from Russia, and are 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!"

He further stated, "India will therefore be paying a tariff of 25%, plus a penalty, starting on August 1. Thank you for your attention to this matter. MAGA!”

In a follow‑up post, Trump also emphasized, “We have a massive trade deficit with India!!!”

Trump has repeatedly criticised India’s high tariffs. He also pointed to India’s non‑tariff barriers, which make it difficult for U.S. companies to access Indian markets.

The U.S. administration is pressuring India to reduce dependence on Russian oil and weapons, as the Ukraine war continues.

The move comes amid stalled trade negotiations between the two countries. Trump has said that without a finalised trade deal by August 1, the new tariffs will take effect immediately.

The announcement comes days after India and the United Kingdom have signed the Comprehensive Economic and Trade Agreement (CETA), a bilateral free trade agreement marking a major milestone in their long-standing partnership.

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