A 26% “discounted reciprocal tariff” on Indian imports has been declared by US President Donald Trump, who cited India’s hefty duties on US exports as justification of US Tariff on India 2025. To address trade imbalances and support American companies, this action is a component of a larger tariff policy. There will be reciprocal levies imposed on over 60 countries, including India. With the Indian stock market reacting carefully, the Nifty 50 is down 0.40% and the BSE Sensex is down 0.44%. President Donald Trump of the United States has imposed a minimum 10% tariff on nearly all commodities that enter the nation as part of his extensive tariffs. The action, which was unveiled in the Rose Garden of the White House, aims to strengthen American industry and address trade imbalances. Read the article to get the announcement about the Country Wise US Tariff Rates 2025.
US Tariff on India 2025
All imports from all nations, except those that adhere to the US-Mexico-Canada Agreement, will be subject to a 10% duty. The 25% tariff will still apply to goods from non-compliant countries of the USMCA. Reciprocal tariffs will apply to about 60 nations with sizable trade surpluses with the US. The rate at which those countries impose tariffs on American goods will be halved. This move is part of a broader tariff strategy to support American businesses and correct trade imbalances. India is one of about 60 countries that will be subject to reciprocal US Tariff on India 2025 and he has announced 26% Tariffs on India. Due to the cautious response from the Indian stock market, the Nifty 50 is down 0.40% and the BSE Sensex is down 0.44%. As part of his extensive tariff policy, US President Donald Trump has imposed a minimum 10% tax on nearly all commodities that enter the US.
US India New Tariff Rate 2025
| Article | US Tariff On India 2025 – Announcement |
| Trump’s Declaration | Discounted Reciprocal Tariff |
| US India New Tariff Rate 2025 | 26% |
| Tariff Implementation Date | 2 April 2025 |
| Indian Export Affected | Jewelry, stones, clothing, and medications |
| Category | Finance |
| Official Site | usa.gov |
How Is the New US Tariff Structured?
President Donald Trump of the United States has declared a 26% “discounted reciprocal tariff” on Indian imports, pointing to India’s hefty tariffs on American goods. The goal of this action is to support American companies and address trade imbalances as part of a larger tariff policy.
- Baseline Tariff: The Baseline tariff, which goes into effect on Saturday at 12:01 AM ET, is 10% on almost all imported items.
- Reciprocal Tariffs: Commencing April 9 at 12:01 AM ET, these tariffs will be half of what other countries apply on US goods.
- Auto Tariffs: All cars manufactured abroad are subject to a 25% tariff, which goes into effect at midnight Eastern Time.
Donald Trump Tariff Announcement on the Indian Stock Market
- After US President Donald Trump announced retaliatory tariffs of 26% on Indian imports, benchmark indices, the Sensex and Nifty had a lackluster trading session.
- At 09:40 am, the BSE Sensex had dropped 0.44% to 76,277, while the Nifty 50 had dropped 0.40% to 23,237.
- As Trump removed pharmaceutical products from the list of imports subject to reciprocal tariffs, pharmaceutical stocks, however, defied the negative trend.
Country Wise US Tariff Rates 2025
| Country | Country Wise US Tariff Rates 2025 |
| Cambodia | 49% |
| Vietnam | 46% |
| Sri Lanka | 44% |
| China | 34% |
| Pakistan | 30% |
| India | 26% |
| Canada | 25% |
| Japan | 24% |
| Israel | 17% |
What Are The Key Impacts and Development Of US Tariffs?
- Tax Rates: From April 2, 2025, the United States will apply a 25% tax on imported automobiles, which is anticipated to increase US manufacturing and bring in an extra $100 billion in income.
- Indian Exports: India’s exports to the US might be significantly impacted, particularly in sectors like apparel, jewelry, and stones. Additionally under risk are pharmaceuticals, which make up 0.3% of India’s GDP and 2.8% of its exports.
- Domestic Market: According to Fitch, India’s sizable domestic market will mitigate the effects of the US tariff increase and sustain steady growth.
- Trade talks are underway between the US and India, and India has offered to lower tariffs on US goods, such as high-end automobiles and motorcycles.
FAQs On US Tariff On India 2025
How much will the US charge India in 2025?
A 25% import tax on automobiles, with additional fees differing depending on the type of product.
What was the date of the tariffs’ implementation?
On April 2, 2025.
Which exports from India are affected?
Jewelry, stones, clothing, and medications.
What impact would this have on the Indian economy?
According to Fitch, India’s sizable domestic market will mitigate the effects and preserve steady development.