Washington DC, USA: From August 28, 2025, the U.S. imposed an additional 25% tariff on Indian goods, making it 50% total, alongside Brazil, due to India’s purchase of Russian oil, seen as supporting Russia in Ukraine.
Trump handled India with restraint because of his close relationship with Modi, leaving enforcement largely to senior advisors, unlike Brazil, where tariffs were politically motivated against Lula.
The tariffs are expected to heavily impact India’s textiles, apparel, agriculture, seafood, and furniture exports to the U.S., pushing India to diversify markets and trade partners.
Some sectors like iPhone assembly and pharmaceuticals, have been partially shielded, and jewelry and diamond exports may indirectly benefit from higher global prices.
India is unlikely to change its strategic ties with Russia despite the tariffs and will continue careful diplomacy, focusing on international relationships and market diversification.