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Trump announces 25% tariff, plus penalty on India
U.S. President Donald Trump on Wednesday announced that India will be subject to a 25 percent tariff on its exports to the United States starting August 1, 2025. In addition, he declared that India will face a penalty for purchasing energy and military equipment from Russia.
The 25 percent tariff is 1 percent lower than the 26 percent rate Trump had mentioned earlier during his “Liberation Day” address on April 2.
In a statement on Truth Social, Trump 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 added that India’s continued purchases from Russia, especially energy and military imports, were unacceptable given its ongoing war with Ukraine.
“India will therefore be paying a tariff of 25%, plus a penalty for the above, starting on August first. Thank you for your attention to this matter. Maga!” he wrote.
In response, India's Ministry of Commerce and Industry issued a statement noting that it is reviewing the impact of the new U.S. tariffs and penalties.