Archive · 24 Jul 2026
US Imposes 10% Tariffs on Indian Exports
The US has put a 10% extra tax on many things India sells to them.
This is because the US thinks India hasn't done enough to stop products made with forced labour from being sold.
Indian companies that sell things to the US will now have to pay more, which might make their products more expensive.
The Indian government is talking to the US to try and fix this.
They also recently made a rule to stop buying things made with forced labour, which might help.
The US and India are also close to finishing a trade deal, which could help Indian companies sell more things to the US.
The US has imposed 10% tariffs on Indian exports over forced labour concerns.
India was placed in the lower tariff category due to recent policy changes.
The tariffs affect various sectors, including textiles, apparel, and pharmaceuticals.
Certain products like energy, fertiliser, and food items are exempt from the tariffs.
India and the US are negotiating an interim trade agreement to address these issues.
- Who
- US Trade Representative, Indian exporters, US President Donald Trump
- What
- Imposition of 10% tariffs on Indian exports to the US
- When
- Immediately
- Where
- United States
- Why
- Inadequate steps to ban imports produced using forced labour
Exporters' Perspective
Government's Perspective
Impact of Tariff Imposition
Exporters' Perspective
Exporters expect increased costs and reduced competitiveness in the US market.
Government's Perspective
The government acknowledges the tariffs but emphasizes ongoing trade negotiations and policy changes to mitigate the impact.
- Tariff Rate
- 10%
- Affected Economies
- 60
- Tariff Basis
- Section 301 of the Trade Act of 1974
- Exempted Categories
- Energy products, fertiliser, some food items, goods under USMCA
- India's Policy Change
- Banned imports of goods produced using forced labour
- Interim Trade Deal Status
- Almost complete
Sources
From July 24, 10% tariffs levied by US set to expire
US imposes 10% tariffs on goods imported from India on issue forced labour
India among 60 countries hit by new US tariffs as Trump rebuilds global trade barriers: Report
US announces 10% tariffs on Indian imported goods over use of forced labour
US imposes 10% 'forced labour' tariff on India
US Imposes 10% Import Tariff On Indian Goods Over Forced Labour Concerns
India-US trade deal: As July 24 tariff deadline nears, expert says Trump lost the bargaining chip
