US President Donald Trump and Prime Minister Narendra Modi. (File photo)
US President Donald Trump has imposed a 25 percent tariff on imported products from India. Also, the fine has also been announced. This fee will be applicable from August 1. India has applied this upper suscified fine on purchasing crude oil and military equipment from Russia. This announcement is shocking as the two countries are negotiating on a trade agreement. By the way, questions are being raised about the influences of American steps. On the other hand, many types of claims have been made by the US President about India.
From the beginning of taking power and starting tariff process, Trump has constantly said that India is one of the highest taxing countries on America in the world. He also addressed India as ‘Tariff King’. On Wednesday, Trump also said that India is a good friend. But it is very strict about the tariff. In such a situation, it is very important to apply tariffs to equal everything. Does India really impose more tariffs on America? After all, how much power is there in Trump’s claims? Let’s try to find answers to all such questions?
Question: What are the fees?
answer : These are customs or import duty imposed on imports of goods. The importer has to pay this fee to the government. Generally, companies put their burden on usuries.
Question: What are the rates declared against India?
answer : The US has announced a fine of 25 per cent and fines on purchasing crude oil and military equipment from Russia. However, the US has not clarified how much the fine will be and how it will be imposed. An executive order of the White House (official residence and office of the US President) will clarify tariff structure on 25 per cent and fine. Apart from this, 10 percent of the original fee has already been levied on all the products of India, which was announced on April 2.
At the same time, 50 percent fee has already been levied on steel and aluminum coming from India and 25 percent on vehicles and its components. These fees are imposed on Indian goods in addition to the current fee. For example, at present, the textile industry is charged six to nine percent, so after adding 25 percent fee, Indian textile products entering the US from August 1 will levy 31-34 percent. It can also be fined.
Question: Why has America announced these fees?
answer : The US has alleged that its trade deficit with India is quite high. He has also held India responsible for imposing high tariffs on American goods, due to which American exports in the Indian market are limited.
Question: How much is the bilateral trade between India and America?
answer : During the financial year 2021-25, America was India’s largest goods trade partner. The US holds about 18 percent of India’s total exports, 6.22 percent in imports and 10.73 percent in bilateral trade. In 2024–25, Bilateral Trade reached US $ 186 billion (US $ 86.5 billion exports and US $ 45.3 billion imports). India’s trade surplus (import and export difference) with the US was US $ 41 billion in 2024-25. It was US $ 35.32 billion in 2023-24 and US $ 27.7 billion in 2022-23.
India imported an estimated US $ 28.7 billion exports and US $ 25.5 billion in services to receive US $ 3.2 billion surplus. Overall, India’s total trade surplus with the US is around 44.4 billion Americans Dollar Stayed According to the Economic Research Institute Global Trade Research Initiative, although the total surplus of the US seates a total surplus of US $ 35-40 billion on the inclusion of revenue derived from education, digital services, financial activities, royalty and arms trade.
Question: Which products are traded mainly between the two countries?
answer : India’s main exports include drug manufacturing in 2024 and organic (US $ 8.1 billion), telecommunications equipment (US $ 6.5 billion), precious and semi-precious stone ($ 5.3 billion), petroleum products ($ 4.1 billion), gold and other precious metal jewelery ($ 3.2 billion), cotton prepared clothes ($ 2.8 billion) including accessories ($ 2.8 billion) and iron and $ 2.7 billion.
Import includes crude oil ($ 4.5 billion), petroleum products ($ 3.6 billion), coal, coke ($ 3.4 billion), carved and polished diamonds ($ 2.6 billion), electric machinery ($ 1.4 billion), aircraft, spacecraft and Kalpurje ($ 1.3 billion) and gold ($ 1.3 billion).
The import duty importer makes goods expensive in the country. Apart from this, some other factors also play a role in it. For example, competitive countries of India such as Bangladesh (35 percent), Vietnam (20 percent) and Thailand (36 percent), the fees and quality and standard of goods etc.…. According to exporters, this fee can affect Indian labor-dominated items like textiles, leather and non-champion shoes, gems and jewelery, carpets and handicrafts.
Question: What will be American fees on major Indian goods from August 1?
answer : Telecom will charge 25 per cent, gems and jewelery 30 to 38.5 per cent (currently 5-13.5 per cent), 29 to 30 per cent (currently 14-15 per cent) on food and agri products, 12 per cent in addition to 12 per cent. A punitive component may also apply from August 1.
Question: Is there any power in Trump’s allegation that the fees in India are very high?
answer : US milk products (188 per cent), fruits and vegetables (132 per cent), coffee, tea, cocoa and spices (53 per cent), grains and foods (193 per cent), oilseeds, fat and oil (164 per cent), beverages and tobacco (150 per cent), minerals and metals (187 per cent) are also highly charged. India’s average fee rate is 17 per cent, which is more than 3.3 per cent of the US but is the same as other major economies like South Korea (13.4 per cent) and China (7.5 per cent).