Last year, the United States imported $87 billion worth of goods from India
President Donald Trump’s 50% tariff on Indian goods officially kicked in yesterday, dealing a potential blow to India’s trade with the US.
The new rate doubles the previous 25% tariff imposed as retaliation for India’s continued purchase of Russian oil during the war in Ukraine.
The move will have major repercussions for India’s export market. According to Commerce Department data, last year, the United States imported $87 billion worth of goods from India, compared to about $42 billion in American goods exported to India.
However, electronics exports are exempt, giving a breather to Apple. The iPhone maker has heavily invested in India to manufacture its smartphones. Pharmaceutical exports are also exempt.