US to Impose Additional 25% Tariffs on Indian Goods from August 27
- US to impose 25% additional tariffs on Indian goods from August 27, 2025, raising total duties to 50%.
- Trump cites India’s high tariffs, Russian energy and defense ties as key reasons for the move.
- PM Modi, FICCI, and trade bodies express resolve and concern, stressing resilience and export diversification.
The US Customs and Border Protection (CBP) has issued a draft notice announcing the implementation of an additional 25% duty on imports from India, effective August 27, 2025. This move follows President Donald Trump’s directive to raise tariffs on Indian goods to 50% under Executive Order 14329, titled “Addressing Threats to the United States by the Government of the Russian Federation”, signed on August 6, 2025.
According to the CBP, the Harmonized Tariff Schedule of the United States (HTSUS) will be modified in line with the order, and the revised duties will apply from 12:01 am EDT on August 27 to all Indian-origin goods entering the US market.
The announcement builds on Trump’s earlier declaration on July 30, where he criticized India’s high tariff regime, stringent trade barriers, and reliance on Russian energy and defense imports. In a Truth Social post, he said India would face a 25% tariff plus penalties, stressing that the move is intended to counter India’s ties with Russia amid the Ukraine war.
Reacting to the development, Prime Minister Narendra Modi reaffirmed that India will withstand the economic pressure. “No matter how much pressure comes, we will keep increasing our strength… Atmanirbhar Bharat is gaining momentum,” he said in Ahmedabad.
Industry bodies such as FICCI have voiced concern, calling the decision “unfortunate” and warning of its impact on exports. While trade leaders flagged short-term disruptions, some remained confident in India’s manufacturing resilience and opportunities for export diversification and new trade partnerships.
