US announces 25% tariff plus penalty on India; govt says it's studying implications
In a social media post, US President Donald Trump cites 'high' tariffs and India's military and energy purchases from Russia as reasons
US President Donald Trump on Wednesday (July 30) announced 25 per cent tariffs on India starting August 1.
"Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country,” stated Trump in a post on Truth Social, his social media platform.
“Also, they have always bought a vast majority of their military equipment from Russia, and are Russia's largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE - ALL THINGS NOT GOOD! INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST 1st. THANK YOU FOR YOUR ATTENTION TO THIS MATTER. MAGA!,” he added.
How India reacted
The Centre responded, saying it's studying the implications of US President Donald Trump's announcement to impose 25 percent tariffs on Indian goods. "The government has taken note of a statement by the US President on bilateral trade. The government is studying its implications," an official statement said.
Read live updates below
Live Updates
- 30 July 2025 7:13 PM IST
Trump insulting India every day, Modi must oppose, says Sanjay Singh
In the wake of US President Donald Trump’s decision to impose 25 per cent tariffs on India, AAP MP Sanjay Singh said that Trump has been insulting India every day. He also said that apart from tariff threats, Trump has also threatened Apple against manufacturing iPhones in India.
“He is insulting India every day, apart from tariff threats; he has even threatened Apple against manufacturing iPhones in India. He has even gone on to say that he loves Pakistan and that India should think about it. PM Narendra Modi should strongly oppose this move and make his next step clear,” added Singh.
- 30 July 2025 7:09 PM IST
Rajiv Shukla slams Trump's tariffs, says Indian businessmen will suffer
Reacting to US President Donald Trump’s decision to impose 25 per cent tariffs on India, Congress MP Rajiv Shukla said that it was a “very strong” step by Trump.
Speaking to reporters, Shukla also said that the Centre considered Trump a friend, but he slapped the country.
Shukla said that Indian businessmen would suffer because of the US tariffs. "This is a really wrong step by the US. The government considers Trump a friend, but he has actually slapped us; Indian businessmen will suffer due to this. We will raise all issues in Parliament...When there is so much friendship (between India-US), then why is Donald Trump troubling India?” said Shukla as quoted by ANI.
- 30 July 2025 7:08 PM IST
Trump is insulting India every day: AAP MP Sanjay Singh
Reacting to Trump's 25% tariff on India, AAP MP Sanjay Singh said the US President is "insulting India every day".
"Apart from tariff threats, he has even threatened Apple against manufacturing iPhones in India. He has even gone on to say that he loves Pakistan and India should think about it. PM Narendra Modi should strongly oppose this move and make his next step clear," he tweeted.
- 30 July 2025 6:54 PM IST
All that taarif between Trump and Howdy Modi has meant little: Jairam Ramesh
Referring to Trump's 25% tariff, Congress leader Jairam Ramesh took a swipe at Prime Minister Narendra Modi, saying: "He should take inspiration from Indira Gandhi and stand up to the US President."
He tweeted: "Mr. Modi thought that if he kept quiet on the insults that the US President has hurled on India -- the 30 claims of stopping Op Sindoor, the special lunch for the Pakistan Army Chief whose inflammatory remarks provided the immediate backdrop to the brutal Pahalgam terror attacks, and US support for financial packages to Pakistan from the IMF and the World Bank --- India would get special treatment at the hands of President Trump. Clearly that has NOT happened."
- 30 July 2025 6:48 PM IST
‘We’ll cross that bridge’: Jaishankar had said on US tariff threat over Russian oil
External Affairs Minister S Jaishankar, on a four-day visit to the US earlier this month, had said India, a major buyer of Russian oil, is aware of the potential implications of the American bill that frowns on such deals.
“I think our concerns and our interests in energy security have been made conversant to him (US Senator Lindsey Graham). So, we will then have to cross that bridge when we come to it, if we come to it,” he said.
- 30 July 2025 6:45 PM IST
'We'll crush your economy': US Senator had warned India last week
US Senator Lindsey Graham had last week warned that Donald Trump would impose steep tariffs on countries that continue to import oil from Russia, specifically naming India, China and Brazil, in his remarks. "Trump is going to impose tariffs on people that buy Russian oil: China, India, and Brazil," he said.
- 30 July 2025 6:40 PM IST
Recalling FTA with UK: Is India dismantling its protectionism with British deal?
India may not like to admit it, but US President Donald Trump’s branding of it as the “tariff king” and his reciprocal tariff threats have forced its hands in more ways than one.
The latest FTA (free trade agreement) signed with the UK demonstrates that India is continuing to dismantle its tariff protections for domestic industries, first initiated in the budget of February 2025, and is quite willing to dismantle the protected turf of government procurement and affordable medicines for its citizens.
- 30 July 2025 6:37 PM IST
Recall: Why India should be wary of Trump's trade deals with EU, other nations
While India now faces 25% American tariffs, Trump has pulled off trade deals with some major economies by extracting major tariff concessions and commitments to invest in his country even while conceding very little in return. Should India try and negotiate a deal?
Read what The Federal's Business Editor wrote on this yesterday.
- 30 July 2025 6:33 PM IST
Watch | US President Trump slaps 25% tariff plus penalty on India: What next?
As Trump announces 25% tariffs on Indian exports, Vijay Srinivas of The Federal speaks to senior journalists D Ravi Kanth, TK Arun and Sunita Kaul Zhutshi to understand the implications for Indian exporters and identify the sectors most at risk.
Watch the video here:
- 30 July 2025 6:10 PM IST
Read Trumi's tariff post on Truth Social
"Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country,” stated Trump in a post on Truth Social, his social media platform.
