US President Donald Trump on Wednesday signed an executive order, in response to New Delhi’s purchase of Russian oil, an additional 25 percent tariff was imposed on imports from India.
According to the order issued by the White House, Trump cited matters of national security and foreign policy concerns, as well as to increase other relevant trade laws, claiming that India’s imports, directly or indirectly, are “unusual and extraordinary threats” to the United States.
Following the order, the total tariff on Indian goods will be 50 percent. While the initial duties become effective on August 7, the additional levy will become effective after 21 days and will be imposed on all Indian goods imported in the US, in addition to completion of goods or specific discounts already.
The executive order also allows for amendments based on changing circumstances, including other countries a potential vengeance or steps taken by Russia or India to address the national emergency.
“Accordingly, and in accordance with the applied law, India’s articles imported into the Customs sector of the United States will be subject to an additional advertisement valorem rate of 25 percent of the duties,” the order stated in the order.
“This rate of duty will be effective in relation to the goods recorded for consumption, or withdrew from the warehouse for consumption, 21 days after the date of this order, after the Eastern Day light at 12:01 pm, except the goods (1) was loaded on a vessel at the port of loading, which was at the last mode of transit before 12:01.
Earlier on Tuesday, Trump said a few hours after mentioning the increase in tariff on India, he said that he would increase the tariff imposed on imports at the current rate of 25 percent from India in the next 24 hours due to the continuous purchase of New Delhi.
Trump told CNBC in an interview, “They are fueling the war machine, and if they are going to do so, I am not going to be happy,” Trump told CNBC in an interview, as quoted by Reuters.
According to the report, he said that the main sticking point with India was that its tariffs were very high, but did not provide a new tariff rate.
Trump said on Monday that the United States “will” increase the tariffs paid by India to a large extent “to purchase a huge amount of Russian oil on a large scale”, stating that most of the oil purchased from Moscow is being sold in the open market “for large profits”.
Trump was announced on his social media platform Truth Social, a few days after the announcement of 25 percent mutual tariff on India and an unspecified punishment for importing oil from Russia.
“India is not only buying Russian oil on a large scale, for most of the oil purchased oil, selling it on the open market for large profits. They do not care how many people in Ukraine are being killed by Russian war machine. Because of this, I will increase the tariffs paid by India to the USA to a great extent. The US President said in the post.
Soon after the US President’s remarks, India stated that “India’s goal is unfair and unfair”.
A statement by the official spokesperson of the Ministry of External Affairs said that the government will take all necessary measures to protect its national interests and economic security.
The spokesman said India has been targeted by the United States and the European Union to import oil from Russia after the Ukraine conflict began.
“In fact, India started importing from Russia as traditional supply was converted into Europe after the outbreak of conflict. At that time the United States actively encouraged such imports by India to strengthen the stability of global energy markets. India’s imports are to ensure the cost of forecasting and cheap energy for the Indian consumer. Unlike our case, such a business has not been a significant national compulsion.”
A spokesman for Mea said that in 2024, the European Union did a bilateral trade of euro 67.5 billion in goods with Russia. In addition, it was trading in estimated services from Euro 17.2 billion in 2023. “This is much higher than India’s total trade with Russia that year or later. LNG’s European imports reached 16.5 million tonnes in 2024, crossing the final record of 15.21 million tones in 2022.
“The spokesperson said that Europe-Russia trade includes not only energy, but also fertilizers, mining products, chemicals, iron and steel and machinery and transport equipment.
“Where the United States is concerned, it continues to import from its nuclear industry, its EV industry, fertilizers, as well as Russia uranium hexfloride for paladium for chemicals. In this backdrop, India’s goal is unfair and unfair.
India has already defended its sovereign right to conduct energy policy on the basis of national interest.
The government had clarified that market dynamics and national interests guide India’s energy purchase. Mea spokesman Randhir Jiswal responded to Querry last week on the announcement of Trump’s fines last week, saying, “You know about our comprehensive approach to energy sourcing requirements that are available in the market and are available in a global position. We do not know about any specifics.”
Responding to another query, Jaiswal said that India’s relations with any country are based on their merit and should not be seen through the lens of the third countries. “Our relationship with any country stands on their merit and should not be seen from the prism of the third country. As far as India-Russia relations are concerned, we have a stable and time-timetable partnership,” he said.
Responding to a query on Friday, Trump indicated that if India stops buying Russian, it would be a good step.
Trump announced a fine for imposing 25 percent tariffs on Indian goods and imposing a fine for import of Russian oil in the last week of July, even an interim Indo-American trade expectations that helped otherwise help to avoid high tariffs.
There is a possibility that global raw price prices may jump from a barrel 200 if India is stopped buying Russian oil, which will cause serious damage to consumers. (AI)
