The imposition of new tariffs by the Trump administration has escalated trade tensions between the United States and India. Following an order from President Trump, Indian imports now face a 50% tariff, a move prompted by India’s continued purchase of oil from Russia. This action has raised questions about the fairness and scope of these trade measures.
At a White House press conference, President Trump addressed the matter. When questioned about India’s reaction to the increased tariffs, which New Delhi described as disappointing, Trump suggested that further actions were planned. He stated that additional sanctions were being considered.
A key point of inquiry was why India was specifically targeted with these extra tariffs. In response, President Trump hinted at further measures, saying, “It’s only been about 8 hours. So we’ll see what happens. You’re going to see a lot more… You’re going to see a lot of secondary bans.”
The issue of China’s trade with Russia was also raised. President Trump indicated that similar tariff increases on China were possible, stating, “It may happen. I don’t know, I can’t tell you yet. But we did it with India. We are doing it probably with a couple of others, one of them could be China.”
Prior to the recent actions, Nikki Haley, a prominent figure within Trump’s party, expressed support for India. She emphasized India’s significance as a U.S. ally and cautioned against giving China preferential treatment. Haley noted on social media that while India should face consequences for buying Russian oil, China, a major consumer of Russian and Iranian oil, has a temporary tariff pause. She argued that China should not receive exemptions, and that the U.S. should not risk damaging its relationship with India.
The new tariffs, scheduled to begin on August 27, add 25% to the existing tariffs on Indian goods. This follows Trump’s earlier threat to penalize India for its energy and military equipment purchases from Russia. The impact on Indian exporters will be significant, putting them at a disadvantage compared to exporters from other nations.
India has strongly criticized the additional tariffs, labeling them as “unfair and imprudent.” The Indian government has previously expressed concerns about being unfairly targeted by the U.S. and the European Union over its trade relations with Russia.