'We'll Bear It': Trump's 50% Tariff From Tomorrow; From PM Modi To China, Who Said What

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Last Updated:August 26, 2025, 22:56 IST

Despite growing tensions between with India and failed trade talks for now, US has said it values bilateral ties with New Delhi arguing the tariff move is a corrective measure

 PTI/File)

Bilateral trade between the US and India is worth over $190 billion. (Image: PTI/File)

It’s here – the Trump administration’s 50 percent tariff imposition on Indian goods will be in force starting Wednesday.

The United States will impose an additional 25 percent tariff from August 27, which combined with existing duties of 25 percent may bring total tariffs on some Indian goods to 50 percent. Washington DC has said this “punishment" is in response to India’s continued purchase of Russian crude oil, which poses a national security risk. 

Despite escalating tension and failed trade talks for now, the US has said it still values bilateral ties with India, arguing the tariff move is simply a corrective measure.

India, meanwhile, has been stoic in its response with the Centre saying the country will “bear it" even as Prime Minister Narendra Modi made a pitch for Swadeshi, or made-in-India, products. He and his ministers have said they will not compromise on the interests of farmers, cattle-rearers, and small-scale industries.

Trade talks collapsed earlier this year due to India not agreeing to open its vast agricultural and dairy sectors. Bilateral trade between the world’s largest and fifth largest economy is worth over $190 billion.

Union ministers S Jaishankar and Piyush Goyal – who are in charge of external affairs and commerce, respectively – have repeatedly stressed on being open-minded about pursuing trade with other countries and protecting national interests. Russia – a longtime strategic partner – and China – with whom bilateral ties are on the mend – have also shown support in wake of India’s intensifying tariff tensions with the US.

Here’s all you need to know:

TO BRING AN END TO RUSSIA-UKRAINE CONFLICT: US

The US on Tuesday issued a draft notice detailing plans to implement an additional 25 percent tariff from August 27, impacting more than USD 48 billion worth of India’s exports to the US and taking the total tariff on Indian goods entering the US market, with certain exceptions, to 50 percent.

Earlier this month, White House press secretary Karoline Leavitt said US President Donald Trump imposed sanctions on India to bring an end to the conflict between Russia and Ukraine. This view has been repeated by Vice-President JD Vance, who had visited India in April.

UNJUSTIFIED AND UNREASONABLE: INDIA

On August 6, responding to the Trump administration’s additional imposition of 25 percent tariff, India said the US action was “unfair, unjustified and unreasonable".

FOR FARMERS, GO SWADESHI: PM MODI

A day before Trump’s additional tariff kicks in, Modi made a vehement pitch for swadeshi and ‘Make in India’ that should help create jobs in the country.

He said Swadeshi should be everyone’s life mantra and irrespective of who is investing, production must take place domestically. His comments came as Japan’s Suzuki Motor Corporation committed to invest over Rs 70,000 crore in India in the next five to six years.

“My definition of swadeshi is very simple: it doesn’t matter whose money is invested, whether it is dollars, pounds, whether the currency is black or white, it doesn’t matter to me. What matters is that in production, the sweat belongs to my countrymen. The money may be someone else’s, but the sweat is ours," Modi said, lauding India’s ties with Japan while saying both the countries are “made for each other".

Declaring the central government’s commitment to farmers, he and Union agriculture Shivraj Singh Chouhan said India cannot compromise on interests of farmers, cattle-rearers, small-scale industries, cautioning “pressure on us may increase, but we will bear it".

Without taking names, the Prime Minister said politics in the world now largely revolves around economic interests where everyone is concerned about themselves.

“In such a scenario, I want to tell small entrepreneurs, farmers and cattle-rearers that for Modi, your interest is paramount. My government will never compromise on your interests. No matter how much pressure comes, we will bear it. But, your interests will never be harmed," he said.

Chouhan, meanwhile, said India had resisted demands to allow the import of agricultural produce in the interest of farmers. He said no agreement will be signed against the country’s interest.

(With agency inputs)

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Oindrila Mukherjee

Oindrila Mukherjee is a senior sub-editor who works for the rewrite and breaking news desks. Her nine years of experience in print and digital journalism range from editing and reporting to writing impactful st...Read More

Oindrila Mukherjee is a senior sub-editor who works for the rewrite and breaking news desks. Her nine years of experience in print and digital journalism range from editing and reporting to writing impactful st...

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    August 26, 2025, 22:56 IST

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