Current Affairs - Economy - Discussion

Donald Trump imposed a 25% tariff on Indian goods exported to the United States, effective from August 1, 2025. This move marks a significant escalation in trade tensions between the two countries. Trump justified the decision by citing India's high tariff barriers and ongoing military and energy ties with Russia during the Ukraine conflict. Alongside the tariff, a penalty was also announced for India's continued imports of Russian oil and weapons. The tariff decision followed a temporary 90-day suspension period and reflects growing geopolitical friction as well as trade-related disagreements between India and the US, potentially affecting key export sectors.