Trump Warns India of Potential Tariffs Amid Ongoing Trade Negotiations
Trade Deal Uncertainty with India
On Tuesday, President Donald Trump indicated that the trade agreement with India remains incomplete, suggesting that New Delhi might face tariffs ranging from 20% to 25%, as reported by a news outlet.
Trump noted that the specific tariff rate has yet to be determined, as discussions between India and the US are ongoing with an approaching deadline of August 1.
While speaking to reporters aboard Air Force One during his return from Scotland, Trump remarked, “India has been a good friend, but they impose higher tariffs than nearly any other nation. That’s not acceptable.”
His comments came in response to inquiries regarding the reciprocal tariffs the US plans to reinstate on various countries that have not established separate trade agreements by the August deadline.
#WATCH | When asked if India is going to pay high tariffs, between 20-25%, US President Donald Trump says, "Yeah, I think so. India is my friend. They ended the war with Pakistan at my request...The deal with India is not finalised. India has been a good friend, but India has… pic.twitter.com/IYxParZqce
— News Media (@NewsMedia) July 29, 2025
In April, Trump had announced increased tariffs but later reduced them to a temporary 10% to facilitate ongoing negotiations. Despite extending the deadline, he has managed to finalize only a few agreements.
On Monday, Trump mentioned the possibility of establishing a global baseline tariff between 15% and 20% for countries that have not reached trade agreements with the US.
The reciprocal tariffs were initially implemented on April 9, but Trump subsequently lowered the rates on imports from most nations to 10% for a period of 90 days to allow for trade discussions.
Earlier in February, the US had already imposed a 25% tariff on various products imported from Canada, Mexico, and China.
Trump has consistently expressed his intention to impose a reciprocal tax on several countries, citing their high tariffs on US goods.
These tariff proposals have raised concerns about a potential trade war that could negatively impact the global economy and lead to a recession.
Earlier this month, Trump had also stated that the US was nearing a trade agreement with India.
On June 27, he mentioned that New Delhi might soon sign a “very big” trade deal with the US. By July 2, the White House indicated that the agreement was close to being finalized and would be announced shortly.
A delegation from India, led by Union Commerce Minister Piyush Goyal, visited the US in May to negotiate the deal, followed by a US negotiating team visiting India for a week in June.