Overview

• President Trump set a 25% duty on about $87 billion of Indian exports effective August 1 and announced an unspecified penalty for New Delhi’s purchases of Russian military equipment and energy.
• The tariff move finalises his April “liberation day” framework under which country-specific rates climb if no bilateral trade deal is reached by the deadline.
• India’s Commerce Ministry said it is studying the US decision and remains committed to negotiating a fair, balanced trade agreement that safeguards farmers and MSMEs.
• Six months of US-India negotiations faltered over US demands for greater access to India’s agricultural and dairy sectors, leaving no deal to avert the reciprocal duties.
• Extended US-China talks have preserved a tariff truce and led Taiwan’s president to delay a planned US stopover as wider regional diplomatic engagements remain in flux.