The Indian government on Tuesday stated that nearly $50 billion worth of Indian goods will be impacted when the United States implements its 50% tariff on August 27.
In a written reply to the Lok Sabha, Minister of State for Commerce and Industry Jitin Prasada said that around $48.2 billion of India’s merchandise exports to the US will be subject to the additional duties, based on 2024 trade values.
He explained that the tariffs are being applied in two stages: a 25% reciprocal tariff imposed from August 7, 2025, and an additional 25% levy effective August 27, 2025, including tariffs on certain imports of Russian oil.
Prasada emphasized that the government is committed to protecting India’s national interest, including the welfare of farmers, workers, entrepreneurs, exporters, and MSMEs. Measures will be taken to mitigate the impact, including export promotion and trade diversification initiatives.
“The Government has taken note of the tariff imposition by the US and is actively working to safeguard India’s interests,” he added.
India-US Bilateral Trade Talks
India and the US are currently negotiating a multi-sector Bilateral Trade Agreement (BTA). Five rounds of talks have already been completed, while the sixth round, initially scheduled for August 25, has been postponed.
Prasada further noted that discussions are ongoing regarding the liberalization of trade in goods, including non-sensitive agricultural products, with the objective of expanding trade and strengthening the India-US economic relationship.
