Overview

• A DHS/CBP draft notice implements an extra 25% duty at 12:01 a.m. EDT on Aug. 27, executing Executive Order 14329 on goods entered for consumption or withdrawn from warehouse.
• The penalty targets India’s continued purchases of Russian oil, with the White House describing the measure as secondary economic pressure linked to the Ukraine war.
• New Delhi rejects the move as unfair, with Prime Minister Narendra Modi vowing to protect farmers and small businesses and Foreign Minister S. Jaishankar defending India’s energy choices as a matter of national interest.
• Narrow exemptions remain for select pharmaceuticals and certain electronics such as iPhones assembled in India, and a limited transit window allows in‑flight shipments to clear at lower rates until Sept. 17.
• Exporters front‑loaded orders ahead of the cutoff as analysts warn of sharp hits to labor‑intensive sectors like textiles, gems and jewelry, and seafood, and note Washington has not applied comparable penalties to other major Russian oil buyers such as China.