Trump Slaps 25% Tariffs, 'Penalty' On India Over Russian Oil, BRICS Link, Trade Deficit — Key Highlights

Here are the key highlights of Trump's latest tariff spree:

• Trump announces a 25% levy plus penalties on Indian goods over purchasing oil from Russia and association with BRICS, even as trade deal talks remain unresolved.

• Trump is reportedly frustrated with the slow progress in US-India trade negotiations.

• "You'll know at the end of this week on India tariffs," said Trump.

• The Indian government has taken note of the development and is studying its implications, reiterating that national interest will be prioritised.

• Leading exporters and industry bodies have expressed deep concern over the sudden move.

• The rupee is likely to open weaker amid global uncertainty and tariff concerns.

With this, we end our coverage of the Trump's trade tariffs for the day. Goodnight, readers!

Textiles and garments, which rely on the US for about 28% of exports, are vulnerable to the latest 25% levy. Himatsingka Seide (83% US revenue), Welspun Living (63%) and Alok Industries (45%) are among the top exposed. A shift in cost structures due to increased tariffs could hit already thin margins.

Since the US also supplies a large portion of India’s cotton imports, the sector faces a double blow — higher costs and reduced demand.

India Inc. and leading exporters have voiced deep concern over US President Donald Trump's announcement of a 25% tariff on Indian goods, calling the move "politically motivated, economically disruptive, and detrimental to strategic ties".

Agneshwar Sen, Trade Policy Leader at EY India, called the tariffs “an unfortunate development,” but expressed optimism that contentious issues would be resolved soon.

FICCI echoed this sentiment, calling the decision “disappointing.” It added that the move could have a “clear bearing on India’s exports,” but hoped the tariffs would be a “short-term phenomenon.” The chamber expressed confidence that ongoing US-India talks would lead to a beneficial outcome.

"We attach the utmost importance to protecting and promoting the welfare of our farmers, entrepreneurs, and MSMEs," the Ministry of Commerce said in an official statement.

"The Government will take all steps necessary to secure our national interest, as has been the case with other trade agreements, including the latest Comprehensive Economic and Trade Agreement with the UK," it added.

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The Indian rupee is likely to open on a weak note on Thursday after logging its sharpest single-day fall in nearly three months, with traders expecting the Reserve Bank of India to step in to prevent a breach of the critical 88-per-dollar mark, according to four people with knowledge of the matter.

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