


President Trump announced Wednesday morning that imports from India to the United States would be subject to a 25 percent tariff as of Friday, as he berated the country over trade barriers and its purchases of energy and military equipment from Russia.
The announcement could put pressure on India to strike a deal or face hefty tariffs that would most likely put a strain on economic and diplomatic ties between the countries. It could also encourage businesses to choose other Asian nations for manufacturing operations, blunting India’s position as a leading alternative to China.
A 25 percent tariff would be just one percentage point lower than what the president threatened India with on April 2, when he announced plans for sweeping tariffs on dozens of countries. It’s also significantly higher than the rates Mr. Trump has settled on for other Asian nations like Indonesia, the Philippines, Vietnam and Japan — all of which have been 20 percent or less.
As companies have moved out of China in recent years, some have made India a base of production, manufacturing electronics, pharmaceuticals and other goods for the U.S. market. An industry analysis shows that this year, India, which is currently the United States’ 12th-largest trading partner, is making more smartphones than China or any other country.
“WE HAVE A MASSIVE TRADE DEFICIT WITH INDIA,” Mr. Trump wrote on Truth Social. He followed quickly with another post, saying the United States had done “relatively little business” with India over the years “because their Tariffs are far too high. ” Mr. Trump also criticized India’s economic ties with Moscow, saying the country was “Russia’s largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE.”
India’s commerce ministry said it was studying the implications of Mr. Trump’s announcement. It said in a statement that India remained committed to “concluding a fair, balanced and mutually beneficial bilateral trade agreement.”