Hours after doubling India’s duty, Trump’s initial 25% tariffs take effect August 7

New York/Washington, Aug 7: The initial 25% tariffs announced by the US on Indian imports came into effect on Thursday, with President Donald Trump saying billions of dollars from countries that have taken advantage of America will now start flowing into the country.

"It's Midnight!!! Billions of Dollars In Tariffs Are Now Flowing Into The United States Of America!" Trump said in a post on Truth Social as the clock struck 12 midnight in the US, ushering in August 7.

"Reciprocal tariffs take effect at midnight tonight! Billions of dollars, largely from countries that have taken advantage of the United States for many years, laughing all the way, will start flowing into the USA. The only thing that can stop America's greatness would be a radical left court that wants to see our country fail!" Trump said in another post.

Last week, the White House announced that India will face tariffs of 25% after Trump issued an executive order listing the various duties that Washington will impose on exports from countries around the world.

In the Executive Order titled “Further Modifying The Reciprocal Tariff Rates”, Trump had announced tariff rates for nearly 70 nations.

The tariffs in the list ranged from 10% to 40%, with Japan being charged 15%, Laos and Myanmar (40% each), Pakistan (19%), Sri Lanka (20%) and the United Kingdom (10%).

In addition to the 25% tariff announced last week, Trump on Wednesday imposed another 25% levies on India for its purchases of Russian oil, bringing the total duties slapped on India to 50%, among the highest imposed by the US on any country in the world.

The additional 25% duty will come into effect after 21 days or August 27.

India, responding to the tariffs, said that the targeting of India is “unjustified and unreasonable”.

India said that, like any major economy, it will take all necessary measures to safeguard its national interests and economic security.

On an additional 25% tariff on India for Russian purchases, Indiaspora, a nonprofit US-based organisation of global Indian diaspora leaders across diverse professions, said in a statement that it believes the "current setback" in what is otherwise an enduring, robust and broad-based people-to-people relationship will be temporary.

"We remain optimistic that the ongoing discussions, when concluded, will reflect the aspirations of both nations and the global Indian diaspora that believes in them," Indiaspora said.

Over the last few months, India and the US held several rounds of negotiations for a bilateral trade deal, but it could not be sealed in view of sharp divergences in certain critical areas, including agriculture and dairy.

PTI