With the US imposing tariffs up to 50%, India assesses the impact and continues trade negotiations for a balanced economic partnership.
The United States has introduced new tariffs under an Executive Order on Reciprocal Tariffs, imposing additional duties between 10% and 50% on imports from all trading partners. A baseline duty of 10% will be effective from April 5, 2025, with India facing a 27% levy from April 9 as per the order.
India’s Department of Commerce is closely monitoring the situation and engaging with key stakeholders, including exporters and industry representatives, to assess the implications. The government is also identifying potential opportunities arising from shifts in US trade policy.
Despite tariff tensions, India and the US remain committed to strengthening trade ties. Prime Minister Narendra Modi and President Donald Trump recently launched ‘Mission 500’ to boost bilateral trade to $500 billion by 2030. Negotiations are ongoing for a comprehensive trade agreement, covering supply chain integration, investment, and technology transfer.
India continues to prioritise its strategic partnership with the US through the India-US COMPACT initiative, aiming to sustain mutual economic growth and prosperity.
