WASHINGTON: US President Donald Trump has ordered higher tariffs on Indian goods in response to New Delhi’s continued imports of Russian oil.
The new 25% tariff will take effect in three weeks, adding to an existing 25% duty that begins on Thursday.
This brings total tariffs on many Indian products to 50%, significantly increasing trade costs for Indian exporters.
Trump’s order also warns of penalties for other nations that import Russian oil, a key revenue source for Moscow’s war in Ukraine.
Certain goods, including steel, aluminum, smartphones, and pharmaceuticals, remain exempt from the latest tariff hike.
India’s foreign ministry condemned the move, calling it “unfair, unjustified and unreasonable.”
Officials noted that India turned to Russian oil after traditional suppliers diverted shipments to Europe due to the Ukraine conflict.
Trump has pressured India to reduce Russian oil purchases as part of broader efforts to isolate Moscow economically.
India’s national security adviser was reportedly in Moscow on Wednesday, coinciding with a visit by US envoy Steve Witkoff.
The latest tariff is lower than the 100% duty Trump previously threatened if Russia failed to end its war in Ukraine within 50 days.
Farwa Aamer of the Asia Society Policy Institute called this a “low point in US-India relations.”
She expects domestic pressure in India to comply with US demands but predicts difficult negotiations ahead.
Separately, Trump increased tariffs on Brazilian goods from 10% to 50% over political tensions involving former president Jair Bolsonaro.
Brazil has initiated WTO dispute proceedings against the new US tariffs, according to government sources.
On Thursday, updated “reciprocal” tariffs targeting the EU, Japan, South Korea, and others will take effect, with rates up to 41%.
Switzerland’s president rushed to Washington ahead of the deadline, though it remains unclear if she will meet Trump.
Mexico plans to strengthen trade ties with Canada as both nations face US tariff pressures.
Legal challenges against Trump’s tariff policies may eventually reach the US Supreme Court. – AFP