In a significant escalation of trade tensions, US President Donald Trump has signed an executive order imposing an additional 25% tariff on imports from India.
The decision, reportedly driven by India’s continued purchase of Russian oil, has drawn sharp criticism from New Delhi.
The Ministry of External Affairs issued a strongly worded statement on Wednesday, labelling the move as ‘unfair, unjustified, and unreasonable’.
The spokesperson added, “India will take all actions necessary to protect its national interests.”
The executive order claims that India’s ongoing import of Russian oil, despite Western sanctions, threatens US national security and foreign policy.
The measure is seen as part of a broader strategy to strengthen existing sanctions against Russia following its actions in Ukraine.
“Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 per cent,” the order states.
These tariffs will apply to all eligible Indian goods entering the US from 21 days after the order’s signing, excluding shipments already in transit and cleared before September 17.
India Cites Energy Security for 1.4 Billion
India has stated that market dynamics and energy security needs guide its oil purchases.
“We have already made clear our position on these issues, including the fact that our imports are based on market factors and done with the overall objective of ensuring the energy security of 1.4 billion people of India,” the MEA spokesperson explained.
The Indian government also criticised the selective targeting, noting that “It is therefore extremely unfortunate that the US should choose to impose additional tariffs on India for actions that several other countries are also taking in their national interest.”
Experts suggest the tariff hike could also affect broader Indo-US relations, while exporters will feel the immediate impact.
With both nations increasingly cooperating on global platforms, the move could strain diplomatic ties in the near term.
As India prepares to respond, officials indicate that countermeasures may be on the table.
The government plans to explore legal and trade options through multilateral forums such as the World Trade Organisation.
The development marks a turning point in India-US trade relations, highlighting how geopolitical tensions and economic sanctions can affect bilateral engagements even among strategic partners.
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