U.S. Slaps Additional 25% Tariff on Indian Imports Effective August 27, Citing Russia Ties

U.S. Slaps Additional 25% Tariff on Indian Imports Effective August 27, Citing Russia Ties

Washington, D.C. (Rajeev Sharma): The United States has announced the imposition of an extra 25% tariff on a wide range of imports from India, effective from 12:01 a.m. EST on Tuesday, August 27. The directive, published by U.S. Customs and Border Protection (CBP), follows Executive Order 14329 signed earlier this month by President Donald Trump.

The new trade measure marks a significant escalation in U.S. efforts to pressure countries maintaining economic relationships with Russia, particularly in the energy sector. Although the order is framed as a response to “threats posed by the Government of the Russian Federation,” India has been named directly in connection with its continued purchase of Russian oil.

Products Targeted by the Tariff

The tariffs will apply to a broad range of goods originating from India, with affected product categories outlined in an annex attached to the CBP notice. These duties will apply to any such goods entering U.S. commerce or released from bonded storage facilities on or after the effective date.

The move brings the total tariff on many Indian imports to 50%, sparking concern among trade analysts and business leaders on both sides.

Trump Signals More Pressure Possible

President Trump indicated that the administration may go even further if nations aligned with Moscow do not scale back their ties. “If there’s no serious movement toward a deal, there will be very big consequences,” Trump said in remarks earlier this week, suggesting that additional sanctions or trade restrictions could be imposed on other countries as well.

So far, the U.S. has stopped short of placing similar tariffs on other major importers of Russian oil such as China, leading some observers to question whether India is being disproportionately targeted.

New Delhi Pushes Back

India has responded firmly to the tariff announcement, calling the decision “unfair and unnecessary.” Officials in New Delhi argue that India’s trade with Russia is conducted transparently and in line with its own strategic priorities.

Speaking at a public rally in Ahmedabad on Monday, Indian Prime Minister Narendra Modi underscored the country’s determination to resist external pressure. “No matter how intense the pressure, we will continue to build our internal strength,” Modi declared. “Our Atmanirbhar Bharat [self-reliant India] mission is being driven by years of hard work — and that won’t be derailed by sudden foreign tariffs.”

India has not ruled out the possibility of reciprocal action but has emphasized a preference for resolving the dispute through dialogue.

By Rajeev Sharma

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