U.S. President Donald Trump has announced fresh 25% tariffs on goods imported from India, citing New Delhi’s continued dealings with Russia and ongoing trade disagreements with Washington. The tariffs, along with an unspecified penalty, are set to take effect on August 1, following the expiration of a U.S.-imposed deadline for finalizing a bilateral trade agreement.
In a post on his social media platform, Truth Social, Trump wrote, “India is a friend, but its tariffs are far too high—among the highest in the world.” He criticized India’s sustained purchases of Russian military hardware and energy despite international appeals to isolate Moscow over the war in Ukraine. “Everyone wants Russia to STOP THE KILLING IN UKRAINE,” he added.
There has been no immediate response from the Indian government, which has spent months in negotiations with the U.S. aimed at securing a trade deal. The United States currently faces a $45.8 billion trade deficit with India—a figure Trump has repeatedly promised to reduce.
Back in April, the Trump administration floated the idea of tariffs as high as 27% on Indian goods but delayed implementation to allow space for dialogue. With negotiations still unresolved, the newly announced tariffs are expected to proceed unless a last-minute breakthrough is reached before the Friday deadline.
Trump, a long-time critic of India’s trade practices, has previously called the country a “tariff king” and a “big abuser” of its economic relationship with the U.S. “But now I’m in charge, and you just can’t do that,” he said on Tuesday.
U.S. Trade Representative Jamieson Greer confirmed ongoing talks with Indian officials, describing the discussions as “constructive,” but pointed out India’s historically protectionist stance. “Their trade policy has always strongly protected their domestic market,” he said.
One of the main sticking points in negotiations remains agriculture. The U.S. has been pushing for greater access to India’s vast farming sector, while India maintains that protecting its millions of small-scale farmers is essential for food security.
Last week, Indian Commerce Minister Piyush Goyal told CNBC that he remained “optimistic” about reaching a deal, calling agriculture a “sensitive” issue. He assured that India would prioritize the interests of its farmers. In a separate interview with Reuters, Goyal said talks were making “fantastic progress” and expressed hope for a “very consequential partnership.”
The U.S. was India’s largest trading partner until recently, with bilateral trade hitting $190 billion in 2024. Both Trump and Indian Prime Minister Narendra Modi have previously set a target of $500 billion in trade volume.
India has made some concessions in recent months, including reducing tariffs on specific U.S. exports like Bourbon whiskey and motorcycles. However, the overall trade imbalance remains—something Trump appears intent on addressing with increased pressure.
