Overview
- President Donald Trump announced a 25% tariff, effective immediately, on any country doing business with Iran.
- Shashi Tharoor warned that combining the new Iran measure with Russia-related duties could raise the effective burden to about 75% on Indian shipments.
- He said only nonsanctioned categories such as pharmaceuticals would likely remain viable, with labour‑intensive exports priced out.
- Tharoor argued India already faces higher U.S. rates than regional competitors, citing 15–19% treatment for Vietnam, Thailand, Indonesia, Pakistan and Bangladesh on sectors like gems, jewellery, shrimp and leather.
- He urged sealing an India–U.S. trade agreement in the first quarter of 2026 and said the new U.S. Ambassador should help align both governments, warning that a 75% rate would hollow out the strategic partnership.