Overview

• In a Truth Social post on August 4, President Trump accused India of buying massive amounts of Russian oil and reselling it for profit, vowing to substantially raise the tariff paid by India without specifying a new rate.
• A 25% reciprocal tariff on Indian imports took effect August 1 under the administration’s campaign to counter non-monetary trade barriers and penalize purchases of Russian military equipment and energy.
• The Ministry of External Affairs issued a strong protest calling the US targeting “unjustified and unreasonable” and pledged to take all measures to safeguard India’s national interests and economic security.
• Two unidentified Indian government sources told Reuters that New Delhi will continue importing discounted Russian crude despite the threat of higher US duties.
• Industry leaders, including Ford CEO Jim Farley, warn that sustained tariffs are accelerating a shift toward regionally aligned manufacturing blocs in Europe, Asia and North America.