India has responded cautiously but firmly after U.S. President Donald Trump announced a steep 25% tariff and an unspecified “penalty” on all goods imported from India, citing New Delhi’s trade barriers and continued energy and defense ties with Russia.
In a late-evening statement on Wednesday, India’s Ministry of Commerce and Industry confirmed it had taken note of Trump’s remarks and is reviewing the implications of the proposed measures. The government emphasized that it remains committed to achieving a “fair, balanced and mutually beneficial” trade agreement with the United States.
“India and the U.S. have been engaged in discussions toward concluding a fair bilateral trade deal over the last few months,” the statement said. “The government will take all necessary steps to secure our national interest, as demonstrated in recent trade negotiations, including the UK Comprehensive Economic and Trade Agreement.”
The ministry reiterated its commitment to protecting Indian farmers, entrepreneurs, and Micro, Small and Medium Enterprises (MSMEs), which would be among the sectors most impacted by the proposed tariff.
Trump, writing on his social media platform Truth Social, said India would face a 25% tariff beginning August 1, along with a yet-unspecified penalty, primarily due to its continued purchases of oil and military equipment from Russia.
“India is our friend,” Trump began, before pivoting to criticism: “We have, over the years, done relatively little business with them because their tariffs are far too high and their trade barriers are among the most strenuous and obnoxious in the world.” He also accused India of being one of the largest buyers of Russian energy, alongside China, despite global efforts to isolate Moscow over the Ukraine war.
He concluded his post in characteristic style, writing, “INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY… THANK YOU FOR YOUR ATTENTION TO THIS MATTER. MAGA!”
In a follow-up post, Trump reiterated, “WE HAVE A MASSIVE TRADE DEFICIT WITH INDIA!!!” — a familiar refrain from his first term in office.
Trump’s Post on Social Media regarding tariffs on India
India has long defended its energy imports from Russia, especially since global supply chains shifted post-Ukraine invasion. External Affairs Minister S. Jaishankar has consistently stated that India’s priority is securing affordable energy for its 1.4 billion citizens.
“We will do what is in our national interest,” Jaishankar has said in response to Western pressure. Indian officials have also emphasized that Western countries had redirected their own energy purchases, leaving India to source fuel from where it is most accessible and affordable.
India’s High Commissioner to the UK, Vikram Doraiswami, also offered a blunt rebuttal earlier this week, stating, “We import over 80% of our energy. We are the third-largest energy consumer globally. What would you have us do, shut down our economy?”
Trump’s tariff declaration comes amid growing rhetoric from U.S. lawmakers against countries continuing to buy Russian oil. Senator Lindsey Graham recently threatened that nations like India, China, and Brazil would face severe economic consequences if they persist in financing Moscow’s war efforts through energy purchases.
Despite this pressure, India has shown no signs of shifting its energy strategy, maintaining that its decisions are guided by economic stability and the needs of its people.
