Union Commerce & Industry Minister Piyush Goyal on Thursday said that the central government will take all steps to protect the country's national interest, a day after US President Donald Trump announced his decision to impose 25 per cent tariffs on India, citing New Delhi's decision to buy Russian oil and weapons.
Speaking in the Lok Sabha, Goyal further said that the central government is examining the implications of Trump's decision to impose 25 per cent tariffs. He said that India and the United States had begun talks for a "balanced and mutually beneficial" Bilateral Trade Agreement (BTA) in March this year, with an aim to conclude the first stage of the agreement by October or November this year.
"On 2nd April 2025, the US President issued an executive order on reciprocal tariffs... 10% baseline duty in effect since 5th April 2025. With a 10% baseline tariff, a total of 26% tariff was announced for India. A full country-specific additional tariff was scheduled to come into effect on 9th April 2025. But on 10th April 2025 this was extended initially for 90 days and then extended till 1st August 2025," he said.
Trump announces 25% tariffs on India
Trump on Wednesday announced a 25 per cent tariffs on India from August 1. He made the announcement on 'Truth Social', noting that the US has a "massive trade deficit" with India. Although he described India as a "friend", the US President criticised New Delhi for its closeness with Moscow and its decision to buy Russian oil amid the ongoing Ukraine war.
It must be mentioned here that India is the largest buyer of Russian oil after China.
Meanwhile, Trump after imposing the tariffs said that the US is currently engaged in trade negotiations with India. He, however, noted that India remains one of the highest tariff-imposing countries in the world.
"India was the highest, or just about the highest tariff nation in the world, and one of the highest - 100 points, 150 points, or percentages. So India was one of the highest in the world," he said, speaking to reporters outside White House on Wednesday. "They had one 175 per cent and higher than that. You know, another higher one is Canada… But India is one of the highest. We're going to see, we are negotiating with India right now."
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