U.S. President Donald Trump listens arsenic Indian Prime Minister Narendra Modi speaks during a associated property league successful the East Room astatine the White House connected February 13, 2025 successful Washington, DC.
Alex Wong | Getty Images News | Getty Images
President Donald Trump said Wednesday that India volition wage a tariff of 25% opening Aug. 1, successful summation to a "penalty" for what helium views arsenic unfair commercialized policies and for India's acquisition of subject instrumentality and vigor from Russia.
The 25% tariff complaint is modestly little than what helium imposed connected India connected "liberation day," erstwhile helium announced a 26% complaint connected the cardinal trading partner.
But it's inactive connected the higher extremity of what Trump appeared to beryllium considering for India. Trump connected Tuesday said helium was considering a complaint between 20% and 25%.
"Remember, portion India is our friend, we have, implicit the years, done comparatively small concern with them due to the fact that their Tariffs are acold excessively high, among the highest successful the World, and they person the astir strenuous and obnoxious non-monetary Trade Barriers of immoderate Country," Trump wrote connected Truth Social.
"Also, they person ever bought a immense bulk of their subject instrumentality from Russia, and are Russia's largest purchaser of ENERGY, on with China, astatine a clip erstwhile everyone wants Russia to STOP THE KILLING IN UKRAINE — ALL THINGS NOT GOOD!" helium continued.
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"INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST FIRST," helium said.
The White House did not respond to CNBC's petition for remark connected what the further punishment mightiness be.
A spokesperson for the Embassy of India successful Washington, D.C., did not instantly reply to a petition for remark connected the tariff complaint oregon the penalty.
In a consequent Truth Social station connected Wednesday, Trump said, "WE HAVE A MASSIVE TRADE DEFICIT WITH INDIA!!!"
Trump has repeatedly said that the extremity of his sweeping tariff authorities is to dramatically chopped the United States' trade deficit with different countries.
Economists person questioned this motive, however. They enactment that importing goods from countries with little labour costs means that Americans tin wage little prices for finished products.
There is besides deep uncertainty arsenic to whether American workers would beryllium consenting oregon capable to bash the low-skilled and perchance unsafe jobs needed to nutrient the goods typically imported from overseas, similar clothing, toys and chemicals.
Earlier this year, Trump went truthful acold arsenic to state America's planetary commercialized shortage an emergency menace to nationalist information successful bid to assertion the ineligible authorization to enforce unilateral tariffs without consulting Congress.
Trump's plans to enforce an further "penalty" connected India implicit its commercialized with Russia besides comes arsenic helium has accrued his rhetoric successful caller weeks implicit President Vladimir Putin's penetration of Ukraine.
In an escalation earlier this month, the president threatened to instrumentality secondary tariffs of 100% starting successful aboriginal August connected countries that bargain Russian lipid and gas, unless the Kremlin reaches a ceasefire woody with Ukraine.
China, India, Brazil and different large U.S. commercialized partners that trust connected Russian vigor would beryllium deed peculiarly hard by a tariff similar this.
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