International News

U.S. Slaps 50% Tariff on Indian Exports Over Russia Oil Trade, Effective Immediately

The United States has imposed a 50% tariff on Indian exports, effective August 27, citing New Delhi’s continued crude oil purchases from Russia.

The hike combines an additional 25% penalty duty with the existing 25% countervailing duty, effectively doubling the tariff rate on Indian goods entering the U.S.

According to a notification from the U.S. Department of Homeland Security, the penalty applies to all Indian products landing in U.S. markets or moving from storage to retail after 12:01 a.m. Wednesday (U.S. time) / 9 a.m. IST. Goods already shipped must reach American ports by September 16 to avoid the duty, while consignments arriving from September 17 onwards will also face the 50% tariff.

This move places India alongside Brazil as one of the countries hit with the highest U.S. import duties. Other high-tariff nations include Switzerland (39%), Canada (35%), China and South Africa (30%), and Mexico (25%).

The tariff spike is expected to hit Indian exports hard, especially garments, textiles, gems and jewelry, seafood (notably shrimp), leather goods, footwear, animal-based products, chemicals, and electrical/mechanical machinery.

Former U.S. President Donald Trump had announced the measure on August 7, accusing India of indirectly aiding Russia’s war in Ukraine by continuing to buy oil and ammunition from Moscow.

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