Former U.S. President Donald Trump indicated that India could be subject to a 20-25% tariff on certain goods, though he clarified that the policy has not yet been finalized. The statement comes amid ongoing trade discussions between the U.S. and India.
Speaking at a recent event, Trump emphasized his stance on protecting American industries but noted that negotiations are still underway. “We’re looking at a 20 to 25 percent tariff for India, but nothing is set in stone yet,” he said.
Analysts suggest that such a move could strain U.S.-India trade relations, which have seen steady growth in recent years. India is a key exporter of textiles, pharmaceuticals, and technology services to the U.S., and higher tariffs could disrupt supply chains and increase consumer prices.
The Biden administration had previously sought to ease trade tensions with India, but Trump’s latest remarks signal a potential shift in policy should he return to office. Experts warn that prolonged trade disputes could lead to retaliatory measures from New Delhi.
Market reactions were muted, as investors await further clarity on the proposal. A final decision is expected in the coming months.
