According to Indian media reports, U.S. President Donald Trump has signed an Executive Order to impose an additional 25% tariff on Indian goods, raising the total tariff rate to 50%.
The move is reportedly linked to India’s continued purchase of Russian oil, a decision that has faced criticism from several Western countries amid ongoing geopolitical tensions. The U.S. administration views these oil imports as a challenge to its efforts to put pressure on Russia.
If implemented, the higher tariffs could have a major effect on trade between India and the United States. Indian exports to the U.S., which include products like textiles, engineering goods, chemicals, and agricultural items, may face reduced competitiveness in the American market due to the increased costs.
Trade experts warn that such a measure could lead to strained economic ties and possible retaliatory actions from India, potentially impacting businesses and industries on both sides.
Diplomatically, the step could create friction in an otherwise strategic relationship, which has seen cooperation in areas such as defense, technology, and climate initiatives.
While there has been no official confirmation from U.S. trade representatives about the timeline for enforcement, analysts believe the decision reflects Washington’s increasing use of economic tools to address foreign policy concerns.
The coming weeks will be crucial in determining whether the tariff hike will be fully enforced and how both countries choose to address the potential fallout in their trade and diplomatic relations.
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