Trump Imposes 25% Tariff on ‘Friend’ India From August 1

On Wednesday, U.S. President Donald Trump announced that India, a nation he referred to as a “friend”, will be subjected to a 25 percent tariff starting August 1. He further stated that New Delhi will face additional penalties over its continued oil and military purchases from Russia amid the ongoing war in Ukraine.

In a post on Truth Social, Trump remarked that although the U.S. and India are friends, the two countries have conducted relatively little trade.

“Remember, while India is our friend, we’ve done relatively little business with them over the years because their tariffs are extremely high, among the highest in the world, and they impose some of the most burdensome and unreasonable non-monetary trade barriers of any country,” he wrote.

The U.S. President further stated, “India has consistently purchased the bulk of its military equipment from Russia and remains one of Russia’s biggest energy buyers, alongside China, at a time when the world is calling on Russia to stop the violence in Ukraine. These actions are not good. As a result, INDIA WILL BE SUBJECT TO A 25% TARIFF, PLUS AN ADDITIONAL PENALTY FOR THESE REASONS, EFFECTIVE AUGUST 1. THANK YOU FOR YOUR ATTENTION TO THIS MATTER. MAGA!”

In a separate post, Trump stated that the United States has a “massive trade deficit” with India.

Last week, U.S. Senator Lindsey Graham warned that Donald Trump would enforce strict tariffs on countries that continue buying oil from Russia, specifically naming India, China, and Brazil.

He stated that these countries account for nearly 80 percent of purchases of discounted Russian oil, which, he claimed, helps fuel Vladimir Putin’s war machine. “President Trump will impose a 100 percent tariff on all of them as a penalty for aiding Putin,” he added.

NATO chief Mark Rutte also issued a warning to countries maintaining trade and business ties with Russia, cautioning that they could face 100 percent tariffs and additional sanctions. He specifically urged India, China, and Brazil to cease their trade with Moscow.

India-US Trade Deal Faces New Tariff Hurdle

The announcement follows days of uncertainty over the tariff rate the U.S. President would impose on India. On Tuesday, Donald Trump had hinted at a possible 20 to 25 percent tariff but noted that no final decision had been made at the time.

He also referred to India as a "good friend" while repeating his criticism that New Delhi imposes higher tariffs on the U.S. than nearly any other country.

“India has been a good friend, but it has imposed more tariffs than almost any other country… You just can’t do that,” Trump said aboard Air Force One on Tuesday.

Earlier this month, Commerce Minister Piyush Goyal stated that India does not engage in trade agreements based on deadlines, and will only accept the proposed deal with the U.S. once it is fully finalised, properly negotiated, and aligned with the national interest.

In his Liberation Day announcements, Trump had unveiled sweeping reciprocal tariffs on several countries, with India slated to face a 26 percent tariff. However, following mounting backlash, the U.S. President declared a 90-day pause on the tariffs, giving nations time to negotiate trade deals with Washington.

As the initial extension expired on July 9, Trump granted a second extension until August 1, as India worked to finalise its trade agreement with the U.S.

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