President Donald Trump put a 50% tariff on goods from India on Wednesday, keeping his word that he’d punish the nation for buying oil from Russia.
The U.S. president hit India with some of the highest tariffs of any nation in the world. Trump initially put a 25% tariff on India, but later doubled it over the Russia oil purchases as he sought a peace deal between Russia and Ukraine.
Director of the National Economic Council Kevin Hassett said talks continue with officials in India on trade. He also said the relationship was “complicated,” echoing earlier comments from Treasury Secretary Scott Bessent. Hassett said more talks are planned.
An April report from the Office of the U.S. Trade Representative noted: “The United States has long recognized significant trade barriers with India.”
The U.S. ran a $45.7 billion goods trade deficit with India in 2024.
That USTR report also noted that India’s tariffs are among the “highest of the world”s largest economies” at an average of 17%. However, that rate jumps to 39% for imported agricultural products.
India is by far the largest U.S. trading partner with 50% tariff on imports. U.S. goods and services trade with India totaled an estimated $212.3 billion in 2024.
Officials in India have said the U.S. tariffs are unfair. India Prime Minister Narendra Modi has said he wants the “best deal” for the nation’s 1.4 billion people. He also urged self-reliance, the BBC reported.
“We should become self-reliant – not out of desperation, but out of pride,” Modi said. “Economic selfishness is on the rise globally and we mustn’t sit and cry about our difficulties, we must rise above and not allow others to hold us in their clutches.”
