Archive · 26 Sep 2025
India-US Trade Talks Continue Amid Tariff Concerns
The US has put a big tax (tariff) on some goods from India, like diamonds, because India bought oil from Russia.
This is hurting Indian businesses.
Economists say this could put many jobs at risk and slow down India's economy.
India and the US are talking about a new trade deal to help fix this.
They want to reach an agreement quickly.
The talks are still going on, with both sides trying to find a solution.
The US imposed 50% tariffs on some Indian goods.
These tariffs include a reciprocal tariff and a penalty related to Russian oil purchases.
The tariffs threaten about $35 billion of Indian exports.
India and the US are continuing trade negotiations.
Economists stress the need for domestic reforms to sustain growth.
- Who
- India and US officials, Indian economists
- What
- Trade negotiations and impact of US tariffs.
- When
- Recent talks, impact ongoing
- Where
- India and the United States
- Why
- To mitigate the impact of tariffs and finalize a trade agreement.
Government/Trade Representatives
Economists
Approach to Negotiations
Government/Trade Representatives
Continue engaging in trade talks for early conclusion of mutually beneficial trade agreement.
Economists
Caution against potential retaliation and escalation, prioritize service exports
Long-Term Growth Strategy
Government/Trade Representatives
N/A
Economists
Need for broader economic reforms, shift from sole reliance on exports, and focus on attracting global capital.
- Tariff Rate on Indian Goods
- 50%
- Impacted Sectors
- Gems, jewellery, textiles, leather, footwear
- Goods Affected
- Indian goods entering US market
- GDP Impact (estimated)
- 0.8%
- Negotiations
- Ongoing for trade agreement
