Trump Unleashes 25% Tariffs on India: Cites ‘Obnoxious’ Trade Barriers

US President Donald Trump has officially levied a 25% reciprocal tariff on Indian goods, effective August 1. This significant move is accompanied by an undisclosed penalty targeting purchases from Russia. Trump’s administration asserts that these measures are a direct response to what it perceives as India’s overly restrictive trade policies, which the President has publicly decried as “among the highest in the World” and characterized by “most strenuous and obnoxious” non-monetary barriers. He argues that such policies have unduly hampered US trade, making these new tariffs a necessary countermeasure.
In a recent Truth Social post, President Trump heralded his tariff-based economic strategy, declaring it instrumental in making “America great and rich again.” He claimed the US has effectively overcome a “decades-long onslaught of tariffs” against it, transforming the nation from a “dead country” to the “hottest” globally. This narrative positions the tariffs as a cornerstone of a robust national economic revitalization.
India’s Ministry of Commerce and Industry has responded cautiously, stating it is “studying its implications” while emphasizing ongoing negotiations for a “fair, balanced, and mutually beneficial bilateral trade agreement.” This indicates a preference for diplomatic resolution over immediate escalation.
The ministry also reiterated its commitment to “protecting and promoting the welfare of our farmers, entrepreneurs, and MSMEs,” signaling that India’s future actions will prioritize domestic economic interests. This tariff imposition marks a critical juncture in US-India relations, setting the stage for careful consideration and potential challenges.