US President Donald Trump has doubled tariffs on Indian goods to 50%, effective August 27, 2025, and has heightened tensions between the US and India.
The punitive 25% tariff imposed on India’s purchases of Russian oil comes in addition to a previously imposed 25% tariff on goods, including clothing, jewelry, footwear, sporting goods, furniture, and chemicals. The total tariff is now 50%, one of the highest in the US, comparable to tariffs on Brazil and China.
The tariffs threaten thousands of small exporters and jobs, particularly in the home state of Prime Minister Narendra Modi, Gujarat. An Indian commerce ministry official, who asked not to be named, told Reuters that affected exporters would be provided with financial support and encouraged to expand their markets, with a focus on China, Latin America, and the Middle East.
The US Customs and Border Protection announced a three-week exemption for goods imported from India that were loaded onto ships and bound for the United States before midnight on August 27, 2025. Those goods can enter the United States at the previously lower tariffs until 12:01 a.m. on September 17, 2025.
