US Imposes 50% Tariff on Indian Products
07-Aug-2025 11:06 AM
New Delhi. Targeting India on the pretext of buying mineral oil from Russia, the US has announced to increase the tariff on Indian products from 25 percent to 50 percent. This tariff will be implemented in two phases.
The initial tariff of 25 percent has come into effect from today i.e. 7 August 2025, while the full 50 percent customs duty will come into effect from 27 August.
After signing the order to this effect, the US President threatened that if India expressed any negative reaction, the tariff rate could be increased further.
Meanwhile, a team of negotiators is going to reach India on August 25, which will hold the sixth round of talks with Indian negotiators for a bilateral trade agreement. Probably in view of this, the extended tariff has been announced to be implemented from August 27. This has naturally increased the concern of the Indian government.
The US has alleged that India buys mineral oil from Russia at a cheap price and then sells it in the international market. This is increasing Russia's prosperity and it is attacking Ukraine more aggressively.
Meanwhile, the Indian Foreign Ministry has issued a statement saying that even after the Ukraine dispute began, the US and the European Union continued to import large quantities of many products from Russia, including chemical fertilizers. The US itself had encouraged India to buy mineral oil from Russia.
Experts believe that the Trump administration is actually upset with the attitude of the BRICS organization and India is an active member of it.
Apart from India, this organization also includes China, Russia, South Africa and Brazil. These countries have agreed to trade in local currency, which can seriously threaten the dominance of the US dollar in international trade.
The US tariff will harm both countries and inflation will increase in America. India will have difficulty exporting its products to the US market because lower tariffs will be imposed on goods from other countries there. China is also included in this. The Indian government is preparing its strategy and the situation is expected to become clear in the next few days.