India imports will now face a 25%tariff, President Donald Trump announced on Wednesday, his last commercial warfare declaration in what has become a cornerstone of his second administration.
When writing about social truth, Trump said India’s tariffs are “too high” while calling other commercial and unpleasant commercial barriers. “
He also said that the country would face an additional penalty for its dependence on Russian energy and military teams.
The announcement is presented to a business deadline on Friday that Trump also said on Wednesday “remains strong” and “will not run.” The president has indicated that dozens of other countries will face a new reference tariff level of up to 20%, higher than 10% already chosen announced in April.
Taken together, these tariff levels are in or near the historical rates that Trump initially threatened on the “Day of Liberation”, a movement that surprised the global economy and sent to stock markets.
Initially, Trump retreated, but since then he has been reintroducing high rates at the levels not seen since the 1930s, when a commercial protectionist policy of the United States aimed to boost the economy ending up making great depression worse.
The Yale University Budget Laboratory said on Monday that US consumers face an effective tariff rate of 18.2%, the highest since 1934, which translates into an equivalent loss of up to $ 2,400 per home in 2025. That analysis occurred before Wednesday’s announcement on India.
Although the 25% rate of India would be slightly lower than 26% that Trump threatened on April 2, remains a strong increase of 2.4%, which is the average tariff rate applied to Indian imports in recent years. India is one of the main sources of imports for US consumers and companies with almost $ 90 billion of goods that flow from India last year.
India recently became the main source of intelligent telephone imports, after Apple moved China’s production to avoid high tariffs and geopolitical conflicts, according to the data reported by Bloomberg. Apple only exported $ 17 billion of India iPhones last year.
Apple’s CEO, Tim Cook, said in the May 1, calling call of the company that he hoped that “most of the iPhones sold in the United States will have India as their country of origin” from this quarter.
Other imports from the United States of India include chemicals, plastics, leather items, agricultural products and metals.
In 2022, India applied an average effective rate of 5.2% in US goods.
Trump continues to immerse up in a rates strategy that has thrown a cloud of uncertainty about the global economy. In the last two weeks, Trump has announced new agreements with a large number of other countries designed to clarify new commercial terms with the United States, but that critics are harassed by vague details and involuntary promises.
However, the main rates of shares have continued to increase higher, in part because some companies are pointing out that the blow to their results from the tariffs will not be as bad as it initially feared when Trump first launched their tariffs in country by country in April in April.
Even so, the bilateral commercial agreements that Trump has recently announced with much higher levels of duty than those that have prevailed for decades. They include 19% of tariffs on Indonesia and Philippines goods and 15% tariffs on Japan and the European Union.
An agreement announced earlier this month with Vietnam puts 20% of the rights of the products of that country, increasing 40% for any redirected product from China.
