U.S. President Donald Trump has declared a 25% tariff on all Indian imports beginning August 1.
Additionally, India will be penalised for its continued energy and defence purchases from Russia.
Speaking on Truth Social, Trump criticised India for maintaining what he termed “the most strenuous and obnoxious non-monetary Trade Barriers,” calling out high tariffs and heavy reliance on Russian military and energy resources. “India is our friend, but they must pay for their choices,” he posted.
The move is positioned as part of broader reciprocal trade sanctions, with the U.S. Commerce Secretary confirming there will be no extensions or exemptions. Customs officials will begin collecting the revised duties next month without delay.
India, Russia’s biggest energy consumer and defence partner, has faced increasing Western scrutiny amid global calls to end the conflict in Ukraine. The U.S. action signals a growing friction between strategic allies as trade, diplomacy, and defence entangle deeper than ever.
The announcement comes on the heels of India’s push for a more independent foreign policy, balancing relationships with the West and traditional allies. Analysts expect ripple effects across Indian industries, exports, and the broader diplomatic landscape.