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Updated April 4th 2025, 13:35 IST

US Tariffs On India 26% Or 27%? White House Clears Confusion

US President Donald Trump Tariffs: The chart highlighted that India imposes a 52% tariff, accounting for factors like currency manipulation and trade barriers.

Reported by: Anubhav Maurya
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Donald Trump
The United States has revised its import tariff on Indian goods. | Image: Reuters

The United States has revised its import tariff on Indian goods, reducing it from an earlier announced 27% to 26%, according to an updated White House document. These revised duties are set to take effect from April 9, 2025.

During a press conference on Wednesday, US President Donald Trump presented a chart showcasing reciprocal tariffs for countries such as India, China, the UK, and the European Union.

The chart highlighted that while India imposes a 52% tariff, accounting for factors like currency manipulation and trade barriers, the US will now charge a discounted reciprocal tariff of 26%. The initial announcement had listed a 27% duty on India, but the revised rate has now been confirmed. 

However, Industry experts suggest that the 1% reduction is unlikely to have a significant impact on trade dynamics.

Also Read: Will Donald Trump’s Tariffs Shatter Indian Economy?

What US President Said

Earlier, on Wednesday, in his almost hour-long remarks from the Rose Garden of the White House on a cold Wednesday, he revealed the carefully watched reciprocal tariffs on countries that levy duties on American goods.

Referring to Indian Prime Minister Narendra Modi as a "great friend," Trump criticized India's trade practices, stating that India imposes a 52% tariff on US goods while the US charges India "almost nothing." He emphasized the need for fairer trade policies.

Trump also pointed out disparities in motorcycle tariffs, noting that the US charges only 2.4%, whereas countries like Thailand, India, Vietnam, and others impose much higher rates—up to 75%. Additionally, he announced a 25% tariff on all foreign-made automobiles to protect American industries.

Tariffs on Other Countries

The President shared a chart detailing import tariffs on major countries, including China (34%), the European Union (20%), Vietnam (46%), Taiwan (32%), Japan (24%), India (26%), the UK (10%), Bangladesh (37%), Pakistan (29%), Sri Lanka (44%), and Israel (17%). Trump emphasized that the era of American taxpayers being exploited by unfair trade practices was coming to an end.
 

Published April 4th 2025, 12:59 IST