New Delhi, 27 August (Kiran News). The additional 25% tariff imposed by US President Donald Trump on India, in response to India’s purchase of Russian oil, has come into effect from Wednesday. With this move, the total duty imposed by the US on Indian goods has now reached 50%. This is expected to affect $48.2 billion (₹5.4 lakh crore) worth of Indian exports.
According to a draft order released by the US Department of Homeland Security (DHS) on Monday, the increased tariffs will apply to Indian products “entered for consumption or withdrawn from warehouse for consumption on or after 12:01 AM Eastern Daylight Time, August 27, 2025.”
From 27 August, goods sent from India to the US will now attract a 50% tariff. A report by the Global Trade Research Initiative (GTRI) suggests this new tariff could impact nearly ₹5.4 lakh crore worth of Indian exports. President Trump had announced the doubling of tariffs on Indian goods to 50% on 7 August, in response to India’s purchase of Russian crude oil, but had allowed 21 days for negotiation.
Due to the 50% tariff on Indian goods, products such as clothing, gems and jewellery, furniture, and seafood sold in the US will become more expensive. This could lead to a drop in demand of up to 70%. In contrast, countries like China, Vietnam, and Mexico, which have lower tariffs, will be able to offer these products at cheaper rates, likely reducing Indian companies’ market share in the US.
Trump’s Tariff Now Applies to 70 Other Countries
US President Donald Trump had first announced a reciprocal 25% tariff on India, which took effect on 7 August. Subsequently, the tariff was also imposed on nearly 70 other countries. After India’s purchase of Russian crude oil, President Trump announced the tariff on Indian goods would be doubled to 50%.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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