U.S. President Donald Trump on Wednesday announced a 25% tariff on Indian imports, with additional penalties set to take effect from August 1, citing India’s trade practices and its continued reliance on Russian energy and defense equipment.
Taking to his social media platform Truth Social, Trump acknowledged India as a “friend” but criticised its tariff regime and non-monetary trade barriers, calling them among the “highest in the world.”
He noted that these obstacles have hampered bilateral trade for years.
“India has been one of the largest buyers of Russian arms and energy, even as the global community pushes Russia to end its aggression in Ukraine,” Trump wrote.
“Starting August 1, India will face a 25% tariff, plus an additional penalty, due to its alignment with Russia on key imports.”
The specific penalty amount has not been detailed yet.
Trump’s statement follows his earlier warning that India could face significant trade levies, as ongoing negotiations on a bilateral trade agreement appear unlikely to conclude before the August 1 deadline.
The new tariffs are part of the Trump administration’s broader push for reciprocal trade policies, especially with countries where trade agreements remain incomplete.
When asked about the proposed tariff range of 20–25% on Indian goods, Trump had said, “Yes, I think so. India is my friend, and Prime Minister Modi is my friend, but this has gone on too long.”
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Trump also reiterated that India’s longstanding high tariffs and complex trade barriers have deterred greater U.S. economic engagement.
A U.S. delegation is expected to arrive in New Delhi later in August to resume talks for a bilateral trade agreement, following the fifth round of discussions held earlier this month in Washington.
The U.S. has already concluded trade deals with other key partners, including the European Union, Vietnam, and Indonesia.
