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'Unfair, unjustified and unreasonable': MEA after Trump loads extra 25% tariff on Indian shipments

'Unfair, unjustified and unreasonable': MEA after Trump loads extra 25% tariff on Indian shipments

Economic Times3 days ago
Synopsis
India strongly opposed US President Donald Trump's decision to impose a 25% tariff. India called the move unfair and unjustified. The tariff, totaling 50%, impacts Indian goods. India stated it will take necessary actions to safeguard its interests. The US cited India's oil imports from Russia as the reason. India defended its energy security decisions.
Agencies Donald Trump New Delhi: India said US President Donald Trump's decision to impose an additional 25% tariff on goods from the country was 'unfair, unjustified and unreasonable,' and reiterated that it will take all actions necessary to safeguard national interest.
Trump signed an executive order on Wednesday, imposing a total 50% tariff on its imports from India, the highest on any country and on a par with Brazil, a move marking an escalation of bilateral trade tensions.
'The US has, in recent days, targeted India's oil imports from Russia,' the ministry of external affairs said in a statement. 'We reiterate that these actions are unfair, unjustified and unreasonable. India will take all actions necessary to protect its national interests.' India had made clear its position on these issues.New Delhi has pointed out that its imports are based on market factors and aimed at ensuring the energy security of the 1.4-billion nation. 'It is, therefore, extremely unfortunate that the US should choose to impose additional tariffs on India for actions that several other countries are also taking in their own national interest,' said the ministry. In FY25, India's goods exports to the US stood at $86.5 billion and imports amounted to $45.7 billion.
The White House said the decision will strengthen measures taken under earlier sanctions against Russia following its actions in Ukraine. Trump signed the executive order imposing additional tariffs less than 14 hours before his initial tariffs were to come into effect. 'To deal with the national emergency described in Executive Order 14066, I determine that it is necessary and appropriate to impose an additional ad valorem duty on imports of articles of India, which is directly or indirectly importing Russian Federation oil,' Trump said in the ninesection executive order. The US President had announced a 25% tariff on India last week. While the initial duty takes effect on August 7, the additional levy will come into force after 21 days, effective August 27. After the order, the total tariff on Indian goods, barring a small exemption list, will be 50%. India's Russia imports undermine US efforts to counter Moscow's harmful activities, according to the White House. India's subsequent reselling of this oil in the open market, often at significant profit, further enables the Russian Federation's economy to fund its aggression, according to its factsheet.
'By imposing a 25% tariff, President Trump aims to deter countries from supporting the Russian Federation's economy through oil imports and impose serious economic consequences on the Russian Federation for its ongoing aggressions,' it said.
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