12.5% ​​on India and China… Trump to drop a ‘tariff bomb’ again, prepares this new plan

New Delhi: Donald Trump has once again prepared a new tariff plan and proposed new US tariff rates. The US is preparing to impose a tariff of at least 10% on imports from its major trading partners, and this proposal comes after an investigation into forced labor practices. Reports suggest that new tariffs have also been finalized for India and China, which could exceed 12%.

How much tariff on which countries, including India and China?
According to a Bloomberg report, looking at the new tariff rates proposed by the US, Trump could impose a 12.5% ​​tariff on goods coming from countries like India, China, Japan, South Korea, Brazil, and Switzerland. Meanwhile, the US Trade Representative’s Office has clarified that a 10% tariff rate will apply to imports from other countries, including Canada, Mexico, the European Union, Taiwan, and the UK.

Deal Talks, Tariff Plans
It’s worth noting that the US Supreme Court struck down the reciprocal tariffs imposed by the US President on various countries. Now, Trump is attempting to reimpose those tariffs. This is particularly significant for India because the Donald Trump Tariff Plan comes at a time when the US’s chief negotiator is holding three days of talks with Indian officials in New Delhi to finalize a bilateral trade agreement.

Section 301, 60 Investigations, Tariff Preparations
The report further states that the United States Trade Representative has released findings from 60 investigations conducted under Section 301, with India among the 54 economies that have not implemented or effectively implemented bans on the import of forced labor-based goods.

A notice from the US Commerce Department states that economies that ban the import of products made with forced labor, or that have committed through a reciprocal trade agreement, or that have limited arrangements in place prohibiting certain products made with forced labor, will face an additional 10% tariff.

For other economies, including India, the US Commerce Department has proposed a higher additional tariff rate of 12.5%. The Trump administration’s tariff proposal also mentions textile imports, which allow certain quantities of textile imports from certain economies to be imported into the US at a lower tariff rate under Section 301.