India is currently taking a wait-and-watch approach as the US, under President Donald Trump, prepares to implement new tariff rules from August 1, 2025. These changes could affect global trade, and India is closely monitoring how other countries are being impacted before deciding on its next steps.
According to a report, President Trump has sent letters to several countries informing them of the new tariff rates that will apply to goods they export to the US starting in August.
Officials in India said it’s too early to predict how these new tariffs will impact India, so they are not making any immediate changes or plans. “Right now, we don’t know what kind of tariff differences will come into play on August 1,” one official said.
Read more: Asian Markets Dip on Tariff Worries: Shanghai, Hang Seng Fall as Nikkei Rises 0.1%
India-US Trade Talks Ongoing
At the same time, Indian and US officials are meeting in the US for the fifth round of talks on a proposed trade deal. Both sides are trying to finalize the first phase of the agreement by September.
The Indian Commerce Ministry says it is keeping an eye on the situation but will only take action after clearly understanding how the US tariffs affect other countries. “Without knowing the full picture, it’s hard to prepare a backup plan,” the official explained.
Trump Confirms Faster Deals with Countries Like India
Meanwhile, President Trump mentioned in a speech that trade talks with countries like Indonesia and India are moving quickly. He said the US has already signed a deal with Indonesia, gaining full access to its markets without paying any tariffs. He expects similar access to Indian markets soon.
Also Read: India-US Trade Deal: Talks Begin in Washington as Trump’s Tariff Deadline Approaches
“We never had access to these countries before. Now we’re getting it because of the new tariffs,” Trump added.
