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Updated April 10th 2025, 22:03 IST

US Suspends 26 Percent Tariff on Indian Imports Until July 9

Temporary relief follows sweeping tariff move aimed at reducing American trade deficit.

Reported by: Sagar Kar
Follow: Google News Icon
Donald Trump
US President Donald Trump | Image: AP

The United States has paused the implementation of an additional 26% import duty on Indian goods for 90 days, providing temporary relief to exporters. According to a White House executive order, the suspension will remain in effect until July 9.

Earlier this month, on April 2, President Donald Trump imposed broad-based tariffs on exports from about 60 countries in a bid to narrow the US trade deficit and bolster domestic manufacturing. Among those affected, India was hit with a sharp 26% additional duty — a move that could have severely impacted the export of Indian products to the American market.

The tariffs targeted several US trading partners, with steep levies also applied to goods from countries like Thailand, Vietnam, and China.

Here is what you need to know

The April 2 measures formed part of a wider effort by the Trump administration to prioritize American industry. However, mounting pressure from businesses, lawmakers, and trading partners led to a partial pause on some of the more severe tariffs — including those on Indian exports.

While the temporary suspension offers short-term breathing space, it remains uncertain what direction US trade policy will take after July 9. Until then, Indian exporters can avoid the added cost burden, although ongoing volatility in global trade remains a concern.

Looking Ahead

Officials and industry experts are now watching for any developments in bilateral trade negotiations that might follow this move. The US has signaled interest in fairer trade terms and increased self-reliance, but has also left room for diplomacy and revision in its tariff policies.

Meanwhile, tariffs on China have been hiked to 145 percent. Whilst announcing the temporary pause on tariffs, on imports from 75 friendly nations, Trump stated that “At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable”. 

Published April 10th 2025, 22:03 IST