August 6th 2025.
On Wednesday, US President Donald Trump made a big announcement - he has just signed an executive order that will impose an extra 25 per cent tariff on imports from India. This decision was made due to India's continued purchase of Russian oil, which the White House sees as a threat to their national security and foreign policy.
This new order is an extension of previous sanctions against Russia, which were put in place after the country's actions in Ukraine. Last week, Trump had already announced a 25 per cent tariff on Indian goods, but this new order will further strengthen those measures.
The order specifically states that India is importing oil from Russia, either directly or indirectly, which goes against US interests. As a result, all Indian goods entering the US will now be subject to an additional ad valorem rate of duty of 25 per cent, as per the order.
However, there are some exceptions to this rule. The tariffs will only be applied to goods entering the US 21 days after the order is signed, as long as the shipments were not already in transit before the deadline and cleared before September 17. This means that any goods loaded onto a vessel at the port of loading and already in transit before the deadline will not be affected.
The order also makes it clear that these new duties will be in addition to existing tariffs, unless the goods fall under certain exemptions outlined in previous trade executive orders. Additionally, all goods subject to this order must follow strict customs rules and be admitted into US foreign trade zones under "privileged foreign status".
It is worth noting that Trump has the authority to modify this order if circumstances change, if there is retaliation from affected countries, or if there are any major policy shifts by Russia or India. The order also directs several US agencies, including the Commerce Department, State Department, and Treasury, to monitor the oil trade between Russia and other countries and recommend similar actions, if necessary.
In conclusion, Trump's executive order imposing a 25 per cent tariff on Indian goods is a strong move aimed at protecting US interests and addressing concerns over India's purchase of Russian oil.
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