As the deadline draws closer, US President Donald Trump’s administration has outlined its plan to impose 50 per cent tariffs on Indian goods. Even as Trump tries to broker a peace deal between Russia and Ukraine, the Department of Homeland Security released a draft notice on Monday. The notice stated that the increased levies would apply to Indian products “that are entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time on August 27, 2025.”
The US Customs and Border Protection (CBP), in its notification, said the implementation of additional duties comes after US President Donald Trump determined that the “Russian Federation’s actions continue to pose an unusual and extraordinary threat to US national security and foreign policy, and India is directly or indirectly importing Russian Federation oil”.
The legal authority for this order stems from statutes such as the International Emergency Economic Powers Act (IEEPA), CBP said.
The move has drawn a sharp response from Prime Minister Narendra Modi, who asserted that India would not compromise on the interests of farmers, small-scale industries and domestic producers.
The US administration earlier justified its plans to double tariffs on Indian goods from 25 per cent to 50 per cent, as it deemed necessary to pressure Russian President Vladimir Putin into peace talks with Ukraine.
Trump has defended tariffs not only as a trade tool but also as a means to “stop wars”, while Vice President JD Vance underlined that India’s inclusion in the secondary sanctions framework was part of a broader push to weaken Moscow’s oil economy.