Trump’s 50% tariff is just a few hours away from implementation, US issues notification

Washington. America has issued a formal notification to impose an additional 25% tariff on goods imported from India. This new tariff will be effective from 12:01 am (EST) on August 27, 2025. That is, it will come into effect in less than 30 hours from now. America says that it has taken this step in response to India buying oil from Russia.

The Trump administration says that by buying oil from Russia, India is indirectly funding Moscow for the Ukraine war. This additional 25% tariff will be in addition to the 25% reciprocal tariff applicable from August 1, 2025, which will take the total tariff on many goods imported from India to 50%. This rate is equal to Brazil and much higher than other Asia-Pacific countries.

However, certain sectors such as pharmaceuticals, semiconductors, and energy resources are exempted from the tariffs. The tariffs could have a profound impact on India’s $87 billion US exports, which is 2.5% of the country’s GDP. Sectors such as textiles, gems and jewellery, leather, marine products, chemicals, and auto parts will be particularly affected.

India’s response to US tariffs
India’s foreign ministry has called the 50 per cent tariff imposed by the US unfair and unjust. The ministry said India is importing oil from Russia based on its energy requirements and national interests, which the US had previously encouraged for the stability of the global energy market. The Indian government is considering measures such as diplomatic dialogue and incentives for exporters instead of imposing immediate retaliatory tariffs on the US.

Prime Minister Narendra Modi on Monday maintained his tough stand ahead of the 50 per cent US tariff on Indian goods and said his government would find a way out regardless of economic pressure from Washington. Addressing a public meeting in Ahmedabad, Prime Minister Modi said, ‘No matter how much pressure comes, we will continue to increase our strength to withstand it. Today, the Atmanirbhar Bharat Abhiyan is getting a lot of energy from Gujarat and behind it is two decades of hard work.’

India will stand firmly against pressures
He assured the nation that India will stand firmly against such pressures and will give priority to the interests of its citizens. PM Modi said, ‘Today we are all seeing policies based on economic selfishness in the world. From the land of Gandhi, I promise the countrymen, your interest is paramount for Modi. My government will never allow any harm to small entrepreneurs, livestock farmers or farmers. Modi stands like a wall against any harmful policy related to the farmers, fishermen and livestock farmers of India. We will never accept any kind of compromise against the interests of our farmers, livestock farmers and fishermen.’