On August 6, 2025, President Trump signed a new Executive Order imposing a new 25% tariff on Indian imports, effective 12:01 a.m. ET on August 27.
The measure is part of a broader U.S. trade strategy in response to India’s continued oil trade with Russia, which the administration sees as a threat to U.S. national security and global stability.

This latest 25% tariff on Indian imports comes on top of the reciprocal 25% duty that was previously announced and set to take effect August 7.
Together, these tariffs could result in a total 50% duty on a broad range of Indian products entering the United States.

Scope of the 25% Tariff on Indian Imports

According to the Executive Order, the new duty applies to all eligible goods unless they meet the following exceptions:

  • Items loaded for shipment before August 27 and arriving in the U.S. by September 17, 2025, are exempt.

  • Goods already excluded under EO 14257 or allowed under 50 U.S.C. 1702(b) remain unaffected.

  • Products entering foreign trade zones after the effective date must be entered under “privileged foreign status.”

These rules aim to give importers a short window for compliance while reinforcing the U.S. position on trade and security alignment.

Trade and Compliance Considerations

U.S. importers and compliance professionals should immediately review their India-sourced supply chains.
The doubling of tariff rates will significantly impact costs and may shift sourcing decisions.
The 25% tariff on Indian imports reflects an escalation in trade enforcement and further signals the administration’s use of economic pressure in global diplomacy.

This action follows recent policy shifts, such as the 50% copper tariff and the termination of the de minimis exemption, all contributing to a stricter U.S. import environment.