Trump's doubling of tariffs on Indian imports takes effect
U.S. President Donald Trump's doubling of tariffs on goods from India to as much as 50% took effect as scheduled on Wednesday, escalating tensions between the world's two largest democracies and strategic partners.
A punitive 25% tariff imposed due to India's purchases of Russian oil adds to Trump's prior 25% tariff on many products from India. It takes total duties to as high as 50% for goods such as garments, gems and jewellery, footwear, sporting goods, furniture and chemicals - among the highest imposed by the U.S. and on par with Brazil and China.
The new tariffs threaten thousands of small exporters and jobs, including in Prime Minister Narendra Modi's home state of Gujarat.
An Indian Commerce Ministry official said on condition of anonymity that exporters hit by tariffs would receive financial assistance and be encouraged to diversify to markets such as China, Latin America and the Middle East.
A U.S. Customs and Border Protection notice to shippers, opens new tab provides a three-week exemption for Indian goods that were loaded onto a vessel and in transit to the U.S. before the midnight deadline. These goods can still enter the U.S. at prior lower tariff rates before 12:01 a.m. EDT (0401 GMT) on September 17.
Also exempted are steel, aluminum and derivative products, passenger vehicles, copper and other goods subject to separate tariffs of up to 50% under the Section 232 national security trade law.
India trade ministry officials say the average tariff on U.S. imports is around 7.5%, while the U.S. Trade Representative's office has highlighted rates of up to 100% on autos and an average applied tariff rate of 39% on U.S. farm goods.
U.S. stocks ended slightly higher on Tuesday, with the Dow adding three-tenths of a percent, and the S&P 500 and Nasdaq each gaining about four-tenths of a percent.
Reuters
U.S. President Donald Trump's doubling of tariffs on goods from India to as much as 50% took effect as scheduled on Wednesday, escalating tensions between the world's two largest democracies and strategic partners.
A punitive 25% tariff imposed due to India's purchases of Russian oil adds to Trump's prior 25% tariff on many products from India. It takes total duties to as high as 50% for goods such as garments, gems and jewellery, footwear, sporting goods, furniture and chemicals - among the highest imposed by the U.S. and on par with Brazil and China.
The new tariffs threaten thousands of small exporters and jobs, including in Prime Minister Narendra Modi's home state of Gujarat.
An Indian Commerce Ministry official said on condition of anonymity that exporters hit by tariffs would receive financial assistance and be encouraged to diversify to markets such as China, Latin America and the Middle East.
A U.S. Customs and Border Protection notice to shippers, opens new tab provides a three-week exemption for Indian goods that were loaded onto a vessel and in transit to the U.S. before the midnight deadline. These goods can still enter the U.S. at prior lower tariff rates before 12:01 a.m. EDT (0401 GMT) on September 17.
Also exempted are steel, aluminum and derivative products, passenger vehicles, copper and other goods subject to separate tariffs of up to 50% under the Section 232 national security trade law.
India trade ministry officials say the average tariff on U.S. imports is around 7.5%, while the U.S. Trade Representative's office has highlighted rates of up to 100% on autos and an average applied tariff rate of 39% on U.S. farm goods.
U.S. stocks ended slightly higher on Tuesday, with the Dow adding three-tenths of a percent, and the S&P 500 and Nasdaq each gaining about four-tenths of a percent.
Reuters
U.S. President Donald Trump's doubling of tariffs on goods from India to as much as 50% took effect as scheduled on Wednesday, escalating tensions between the world's two largest democracies and strategic partners.
A punitive 25% tariff imposed due to India's purchases of Russian oil adds to Trump's prior 25% tariff on many products from India. It takes total duties to as high as 50% for goods such as garments, gems and jewellery, footwear, sporting goods, furniture and chemicals - among the highest imposed by the U.S. and on par with Brazil and China.
The new tariffs threaten thousands of small exporters and jobs, including in Prime Minister Narendra Modi's home state of Gujarat.
An Indian Commerce Ministry official said on condition of anonymity that exporters hit by tariffs would receive financial assistance and be encouraged to diversify to markets such as China, Latin America and the Middle East.
A U.S. Customs and Border Protection notice to shippers, opens new tab provides a three-week exemption for Indian goods that were loaded onto a vessel and in transit to the U.S. before the midnight deadline. These goods can still enter the U.S. at prior lower tariff rates before 12:01 a.m. EDT (0401 GMT) on September 17.
Also exempted are steel, aluminum and derivative products, passenger vehicles, copper and other goods subject to separate tariffs of up to 50% under the Section 232 national security trade law.
India trade ministry officials say the average tariff on U.S. imports is around 7.5%, while the U.S. Trade Representative's office has highlighted rates of up to 100% on autos and an average applied tariff rate of 39% on U.S. farm goods.
U.S. stocks ended slightly higher on Tuesday, with the Dow adding three-tenths of a percent, and the S&P 500 and Nasdaq each gaining about four-tenths of a percent.
Reuters
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Trump's doubling of tariffs on Indian imports takes effect
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