That India didn’t blink on a trade pact with US is (1) good for core interests like protecting farmers and (2) not as bad as it sounds given what countries that have buckled have had to concede to Trump
Months of speculation over the India-US trade deal ended last evening with a blunt announcement from Trump on Truth Social. Starting Aug 1, all Indian goods entering US will face a 25% import tariff, plus an additional penalty. This new tariff regime will apply even to goods already in transit.
An apparel item that previously attracted a 12% tariff will now face 12% + 25% + a-yet-to-be-disclosed penalty.
Trump gave four main reasons for the new tariffs on India: high Indian tariffs, trade barriers, and India’s continued buying of oil and military equipment from Russia. His justification does not fully hold up to scrutiny.
An apparel item that previously attracted a 12% tariff will now face 12% + 25% + a-yet-to-be-disclosed penalty.
Trump gave four main reasons for the new tariffs on India: high Indian tariffs, trade barriers, and India’s continued buying of oil and military equipment from Russia. His justification does not fully hold up to scrutiny.