US EditionIndia Pushes Ahead with US Trade Talks Despite Tariff Hike to 50%
INDIA, AUG 10 – The panel reviewed escalating India-US trade tensions triggered by a 50% US tariff hike and India's planned responses amid stalled negotiations, impacting $90 billion bilateral trade.
- On August 11, 2025, the Indian government provided an update in New Delhi to the External Affairs Committee chaired by Congress MP Shashi Tharoor regarding recent US-India trade discussions and tariff issues.
- The briefing followed US President Donald Trump's executive orders imposing a total 50% tariff on Indian imports from August 27 due to India's purchases of Russian crude oil.
- The government highlighted that around 55% of India's merchandise exports to the US would face a reciprocal 25% tariff starting August 7, excluding pharmaceutical products which currently face no US tariffs.
- Shashi Tharoor expressed concern over the situation and emphasized that India must defend its interests, suggesting that the country respond by levying a substantial tariff increase on goods imported from the United States.
- Officials noted that various factors will determine the tariffs' impact on exports, and the Ministry of External Affairs promised to protect national interests while maintaining constructive US engagement.
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