Donald Trump imposes an additional 25 per cent tariff on Indian goods over Russian oil imports
The tariff is set to take effect in three weeks and would be added on top of a separate 25 per cent tariff entering into force on Thursday.
It maintains exemptions for items targeted by separate sector-specific duties, such as steel and aluminium, and categories that could be hit like pharmaceuticals.
The White House said Mr Trump signed an executive order implementing the move on Wednesday, US time.
India is yet to comment on the move. It previously described Mr Trump's threats to impose the additional levy as unjustified.
Relations between Washington and New Delhi have deteriorated in recent weeks, with a trade agreement yet to be signed between the two countries.
India has become a major buyer of Russian oil, providing a much-needed export market for Moscow after it was cut off from traditional buyers in Europe because of the war.
The reshaping of energy ties has saved India billions of dollars while bolstering Moscow's coffers.
India argued it "began importing from Russia because traditional supplies were diverted to Europe after the outbreak of the conflict".
ABC/wires
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
News.com.au
an hour ago
- News.com.au
Trump demands new US census as redistricting war spreads
US President Donald Trump on Thursday ordered officials to work on a new census excluding undocumented immigrants, as the White House presses Republican states to draw more favorable voter maps ahead of the 2026 midterm elections. Trump called for a "new and highly accurate" census that he wanted based on unspecified "modern day facts and figures" gleaned from the 2024 election. "People who are in our Country illegally WILL NOT BE COUNTED IN THE CENSUS," he said in the social media post. The US Constitution since 1790 has required a census every 10 years that counts the "whole number of persons in each state" -- including people in the country illegally. The next one is not due until 2030, although preparations for the enormous task are already underway. Trump did not make clear if he was referring to the regularly scheduled population count or a special survey undertaken earlier. The census is used to determine how many members of Congress are elected from each state, and the Pew Research Center estimates that ignoring unauthorized migrants in 2020 would have deprived California, Florida and Texas of one House seat each. It is also used for apportioning votes in the state-by-state "electoral college" that decides presidential elections and for allocating trillions of dollars in federal funding. Trump attempted similar moves in his first term, including the addition of a citizenship question to the census, but was blocked by the Supreme Court. The court declined to rule on whether the millions of people in the country without legal status should be excluded. Trump's call for a new census comes with state-level lawmakers and officials in Texas locking horns over a new electoral map that would likely net Republicans up to five extra House seats in 2026. - Threats to lawmakers - More than 50 Texas Democratic lawmakers have fled to multiple Democratic states in an effort to block the passage of the proposed blueprint during a special legislative session. Texas Republicans have threatened to arrest them, and US Senator John Cornyn announced he had successfully petitioned the FBI to help state and local law enforcement locate them. Republican governors in several other states are exploring new maps in a bid to protect the party's razor-thin majority in the House, which would flip next year with three Democratic gains. Vice President JD Vance was scheduled to visit Indiana on Thursday to discuss redistricting with Governor Mike Braun and press local Republicans to eke out another seat for the party. Politico reported that Republicans could draw as many as 10 new seats ahead of the midterms and are targeting Ohio, Missouri, New Hampshire, South Carolina and Florida. But some Republicans have warned that opening a Pandora's box of mid-cycle partisan redistricting -- known as "gerrymandering" -- risks making conservative lawmakers an endangered species in liberal states Republican congressman Kevin Kiley, whose seat would likely disappear under a retaliatory gerrymandering in California, has introduced a bill to block all mid-decade redistricting. In Indiana, Braun said any redistricting conversation would be "exploratory," as the state's maps were drawn fairly in 2021, Indianapolis public broadcaster WFYI reported. "We tried to adhere to township lines and the configurations don't look like an octopus," Braun said, according to the TV and radio network. Democrats have vowed to retaliate with their own proposals, possibly in New York and California, the country's largest states. Texas legislators were evacuated from their suburban Chicago hotel on Wednesday morning following an unspecified threat. State representative John Bucy told NBC News the group had spent two hours outside the building but had not been diverted from pursuing their "fight for voting rights." Democratic Illinois Governor JB Pritzker authorized state police to guard the group.
Perth Now
an hour ago
- Perth Now
US applications for jobless benefits up modestly
The number of Americans filing for unemployment benefits slightly increased last week, a sign that employers are still retaining workers despite economic uncertainty related to US trade policy. Jobless claims for the week ending August 2 rose by 7000 to 226,000, the Labour Department reported on Thursday, slightly more than the 219,000 new applications that economists had forecast. The report is the first government labour market data release since Friday's grim July jobs report sent financial markets spiralling downward, spurring President Donald Trump to fire the head of the agency that tallies the monthly jobs numbers. Weekly applications for jobless benefits are seen as a proxy for US layoffs and have mostly settled in a historically healthy range between 200,000 and 250,000 since COVID-19 throttled the economy in the spring of 2020. It was just the second time in eight weeks that jobless benefit applications rose. While layoffs remain low by historical standards, there has been a noticeable deterioration in the labour market this year. Last week, the government reported that US employers added just 73,000 jobs in July, well short of the 115,000 expected. Worse, revisions to the May and June jobs figures shaved a stunning 258,000 jobs off previous estimates and the unemployment rate ticked up to 4.2 per cent from 4.1 per cent. Many economists contend that Trump's erratic tariff rollout in April created uncertainty for employers, who have grown reluctant to expand their payrolls. The grim jobs data raised the ire of Trump, who alleged that the data was manipulated for political reasons and ordered the firing of Erika McEntarfer, the head of the Bureau of Labour Statistics, which produces the monthly jobs figures. The firing was roundly criticised by economists, who, along with Wall Street investors, have long considered the job figures reliable. Stock and bond markets often react sharply when they are released. US markets recoiled at last week's jobs report, with the Dow Jones Industrial Average tumbling more than 600 points on Friday. The Bureau of Labour Statistics does not contribute to the weekly unemployment benefits report except to calculate the annual seasonal adjustments that account for changes in weather, holidays, and school schedules. The Department of Labour's Employment and Training Administration collects the weekly unemployment insurance claims reported by each state. There was another indicator that the labour market is softening in a government report last week that revealed employers posted 7.4 million job vacancies in June, down from 7.7 million in May. The number of people quitting their jobs — a sign of confidence in finding a better job — fell in June to the lowest level since December. Hiring also fell from May. Major companies have announced job cuts this year, including Procter & Gamble, Dow, CNN, Starbucks, Southwest Airlines, Microsoft, Google, and Facebook's parent company, Meta. Most recently, Intel and The Walt Disney Co announced staff reductions. The deadline on most of Trump's stiff proposed taxes on imports kicked in on Thursday, though some deals have been made and other deadlines to negotiate have been extended. Unless Trump reaches deals with countries to lower the tariffs, economists fear they could act as a drag on the economy and spark another rise in inflation. Thursday's report also showed that the four-week average of claims, which smooths out some of the week-to-week volatility, fell by 500 to 220,750. The total number of Americans collecting unemployment benefits for the previous week of July 26 jumped by 38,000 to 1.97 million, the highest level since November 2021.
Perth Now
an hour ago
- Perth Now
Tech stocks power Wall Street gains, tariff relief hope
Wall Street's main indexes have advanced, lifted by hopes that technology giants might dodge President Donald Trump's newest tariffs on chip imports. Apple's shares climbed 2.4 per cent, having risen 5.1 per cent and led gains on Wall Street in the prior session, after Trump said the iPhone maker will invest an additional $US100 billion ($A153 billion) in the US. This brings its total commitment to $US600 billion ($A920 billion) over the next four years. Trump also announced a tariff of about 100 per cent on imports of semiconductors, but said it would not apply to companies that are manufacturing in the US or have committed to do so. Shares of chipmakers Nvidia and Broadcom rose 1.3 per cent each, while peer Advanced Micro Devices advanced 3.0 per cent. The tech sector emerged as the top performer, gaining 1.1 per cent, while the healthcare sector fell to the bottom. Eli Lilly dropped 11.2 per cent after reporting data on its late-stage oral weight-loss drug. The drugmaker also raised its full-year profit forecast. In early trading on Thursday, the Dow Jones Industrial Average rose 263.08 points, or 0.60 per cent, to 44,456.20, the S&P 500 gained 37.82 points, or 0.60 per cent, to 6,382.88 and the Nasdaq Composite gained 177.85 points, or 0.84 per cent, to 21,347.27. Trump's higher tariffs of 10 per cent to 50 per cent on dozens of trading partners took effect on Thursday. Fresh signs of a faltering labour market, especially after a disappointing July payrolls report, have fuelled speculation that the Federal Reserve could soon kick off a rate-cutting cycle. Underscoring the jitters, new data showed jobless claims came in at 226,000 for the week of August 2, surpassing economists' expectations of 221,000. "It's certainly validating the increase in jobless claims we've been seeing, which also jives with the weakness we saw in the employment report," said Ben Laidler, head of equity strategy at Bradesco BBI. "The narrative is clear, the economy is slowing. It may not be headed towards recession, but it's definitely slowing." Traders are now betting almost fully on a September rate cut, with at least two moves expected this year, CME Group's FedWatch tool showed. Investors are also watching for Trump's interim replacement for Fed Governor Adriana Kugler in the coming days, amid expectations that the nominee would be a policy dove who will likely favour bringing interest rates lower. Kugler's resignation leaves an opening at the seven-member Fed Board led by Chair Jerome Powell, who Trump has repeatedly criticised for not cutting borrowing costs. Powell's tenure is due to end in May. Meanwhile, chipmaker Intel lost 0.7 per cent after Trump called for its chief executive's resignation, saying, "the Intel CEO is highly conflicted and should resign immediately". Second-quarter earnings barrage continued at full throttle. DoorDash topped revenue estimates and forecast a stronger-than-expected gross merchandise value for the current quarter. Its shares jumped 4.9 per cent. Datadog gained 6.2 per cent after beating estimates for second-quarter results. Airbnb slumped 8.4 per cent after the company forecast slower growth for the second half of the year. Advancing issues outnumbered decliners by a 4.32-to-1 ratio on the NYSE and by a 2.32-to-1 ratio on the Nasdaq. The S&P 500 posted 17 new 52-week highs and no new lows, while the Nasdaq Composite recorded 41 new highs and 28 new lows.
