The United States has doubled duties on most imports from India, raising the rate to as much as 50% after a new 25-percentage-point surcharge took effect at 12:01 a.m. Eastern time on 27 August. A Department of Homeland Security draft notice said the measure responds to national-security concerns over India’s continued purchases of Russian crude and follows an executive order signed by President Donald Trump earlier this month. The move comes after five rounds of stalled trade negotiations and marks one of the steepest country-wide tariff rates now imposed by Washington. The additional levy applies to labour-intensive goods such as garments, gems, footwear, furniture and chemicals, on top of an existing 25% duty introduced last year. Steel, aluminium and related derivative products, passenger vehicles, copper, electronics and pharmaceuticals remain exempt. A U.S. Customs and Border Protection advisory offers a three-week grace period: Indian merchandise loaded on vessels before the deadline may enter the United States at the previous tariff rate if cleared by 12:01 a.m. on 17 September. Beyond that window, the full 50% charge applies. India shipped roughly $87 billion of goods to the United States in 2024 and is Washington’s largest trading partner in South Asia. Exporter associations fear the higher duties could hit more than half of those shipments, while the Global Trade Research Initiative warns exports to America could fall by as much as 43%, jeopardising jobs in textiles, leather and jewellery hubs. The escalation threatens to strain ties between the two democracies even as they seek closer security cooperation in the Indo-Pacific.
India is bracing for a sharp blow to its overseas trade as steep US tariffs take effect on a range of Indian products Wednesday. https://t.co/Et7HPCH50J
Indian exporters are bracing for a sharp drop in US orders after trade talks collapsed and Washington confirmed steep new tariffs on Indian goods starting Wednesday, straining ties between the strategic partners https://t.co/7GBkr8yUV9 https://t.co/UPbcYGb9r0
#USTariffs on #Indian goods double to 50% over #Russian oil purchases https://t.co/ZX8OwNvJn0