Live Updates > Live Update Details
2025-07-30 21:05:44
[US-India Trade War Escalates: 25% Tariffs Hit $87 Billion in Indian Exports - How Strong Will the Shockwave Be?] ⑴ On July 30th, Beijing time, the United States announced that it would impose a 25% tariff on goods imported from India, effective August 1st. ⑵ In addition, India will face an unspecified fine. ⑶ Trump's tariff remarks directly criticized India's "excessive" tariffs and "draconian" non-monetary trade barriers, and also mentioned India's military and energy transactions with Russia. ⑷ This move completely dashed hopes for a limited trade agreement between the United States and India that had been underway for months. ⑸ On the Indian side, while officials previously emphasized that the United States is an important strategic partner, they have consistently maintained policy space on agriculture, data governance, and state subsidies. ⑹ The new tariffs are expected to affect approximately $87 billion in Indian goods exports to the United States in 2024, particularly labor-intensive products such as clothing, pharmaceuticals, jewelry, and petrochemicals. ⑺ The current US trade deficit with India is $45.7 billion. ⑻ Although the leaders of the two countries had pledged to expand bilateral trade from $191 billion in 2024 to $500 billion by 2030, this tariff move undoubtedly casts a shadow over this goal. ⑼ If India retaliates, US exports of manufactured goods and energy to India may also be affected.
