Trump declared that a 25% tariff will be applied to Indian goods entering the United States starting August 1. He also threatened an unspecified penalty linked to India’s continued military and energy purchases from Russia, connecting it to the ongoing conflict in Ukraine.

In his announcement on Truth Social, Trump described India as “a friend” but criticized its “tariffs [which] are far too high” and called out what he termed “strenuous and obnoxious non‑monetary trade barriers” that hamper U.S. access to the Indian market.

This move forms part of Trump’s wider global trade strategy, which includes similar reciprocal tariff threats to multiple nations that have failed to finalize bilateral trade deals by his August 1 deadline. Talks between the U.S. and India, aimed at doubling bilateral trade to $500 billion by 2030, have broken down over contentious issues such as farm and dairy market access.

Indian opposition leaders, including Congress, slammed the decision—claiming that PM Modi’s close ties with Trump have backfired and led to economic consequences arising from failed diplomacy.