WASHINGTON– President Donald Trump on Wednesday threatened to impose a 25 percent tariff on Indian exports starting Friday, despite calling India “our friend,” as ongoing trade negotiations appear to have broken down.
“India will be paying a tariff of 25 percent,” Trump posted on Truth Social, stating that the move would take effect August 1. He also warned that India would face an additional penalty for continuing to purchase energy from Russia.
Trump has set a 100 percent secondary tariff on any country still buying Russian energy unless Moscow agrees to a ceasefire in Ukraine. He has shortened the deadline for those penalties to ten days from Tuesday, setting it at August 7.
The threat to India is seen as a high-stakes negotiating tactic. Trump and Commerce Secretary Howard Lutnick had recently expressed optimism that India would be among the first countries to finalize a deal with Washington.
India was an early participant in the tariff negotiations, and Trump had repeatedly said an agreement was imminent—most recently just last week. Indian Commerce Minister Piyush Goyal echoed that sentiment during a media interview in London, calling the progress “fantastic” and expressing hope for a “very consequential partnership.”
However, with the August 1 deadline now just a day away, the two sides have yet to announce a final agreement. Negotiators have been scrambling to meet the deadline, with reports suggesting that an interim deal was expected ahead of a broader bilateral trade pact—possibly timed with Trump’s upcoming visit to India for the Quad summit later this year.
In his social media post, Trump accused India of maintaining one of the highest tariff regimes in the world.
“Remember, while India is our friend, we have, over the years, done relatively little business with them because their tariffs are far too high—among the highest in the world,” Trump wrote.
He also criticized India for what he described as “the most strenuous and obnoxious non-monetary trade barriers of any country,” and reiterated his frustration over India’s military and energy ties with Russia.
“They have always bought a vast majority of their military equipment from Russia and are Russia’s largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE,” Trump posted. “ALL THINGS NOT GOOD! INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST FIRST.”
He ended the post with his signature rallying cry: “MAGA.”
The U.S. has been demanding zero tariffs on its exports in new trade deals. Countries such as Japan and the European Union have agreed to tariffs around 15 percent, while deals with the Philippines and Indonesia have set rates at 19 percent.
A major point of contention with India remains access to its agricultural markets, a politically sensitive issue in the world’s most populous nation.
Trump has already announced unilateral tariff rates for several countries if no deal is reached by August 1: 35 percent for Bangladesh, 36 percent for Thailand, and 25 percent for Malaysia. (Source: IANS)