India-US Ties Under Trump: A Tariff Timeline

A sweeping US sanctions and tariff bill has become the latest point of friction between New Delhi and Washington, adding to strains already caused by American tariffs on Indian goods and by Washington's close engagement with India's neighbour Pakistan.

The measure, passed by the US House of Representatives, is intended to increase economic pressure on Russia over its invasion of Ukraine and to widen sanctions on Iran. It also authorises President Donald Trump to impose tariffs of up to 100% on goods from countries including India, in an effort to reduce their reliance on Russian oil and gas.

New Delhi said it had cautioned Washington that such steps could affect the relationship, and that it would work with trade and industry bodies to address the bill's implications.

The friction follows a series of shifts in trade policy through Trump's second term.

February 2025

Trump announced a new tariff system under which the United States would charge the same rates as India levied. The two countries also agreed to pursue a limited trade deal and set a target of doubling bilateral trade to $500 billion by 2030.

April 2025

New Delhi and Washington finalised the terms of reference for bilateral trade talks. The US imposed a 26% tariff on several Indian imports but paused it for 90 days shortly afterwards, maintaining instead a 10% duty on all imports.

July 2025

Trump announced a 25% tariff on all Indian goods, which he raised to 50% in August, citing New Delhi's continued purchases of Russian oil. India described the tariff as unfair and said it would defend its national interests.

February 2026

Trump announced a trade deal that would cut US tariffs on Indian goods to 18%, in exchange for India halting Russian oil purchases and lowering trade barriers. The two countries also released an interim framework for the deal. Later, the US Supreme Court struck down Washington's emergency tariffs, after which Trump announced a temporary 10% duty on India and other countries for 150 days.

July 2026

When the 150-day period expired, Trump announced a fresh 10% tariff on imports from India, saying it was among several economies that had not curbed imports made with forced labour. India said about 45% of its exports to the United States consisted of products exempted from the duty, and that it remained engaged with Washington on their bilateral trade pact.

September 2026

The US House of Representatives passed the sanctions and tariff bill, which New Delhi has said could have consequences for the broader relationship.