The Indian government is assessing the impact of a new 25% tariff and penalty imposed by former U.S. President Donald Trump on imports from India, Commerce and Industry Minister Piyush Goyal informed Parliament on Thursday, July 31.
The move follows Trump’s post on Truth Social a day earlier, where he announced punitive trade measures against India. He cited India’s tariff and non-tariff barriers, along with its ongoing energy and defense cooperation with Russia, as justification.
Mr. Goyal said the government is examining the implications of the development and is in close consultation with all stakeholders—including exporters and industry associations—to gauge the potential economic fallout.
“The Ministry of Commerce and Industry is actively engaged with stakeholders to understand the real-time impact,” he said, adding that protecting the interests of Indian farmers, MSMEs, entrepreneurs, and workers remains the government’s top priority.
He reaffirmed India's commitment to “inclusive growth, sustainable development, and self-reliance,” stating that the country continues to make steady progress towards the goal of Viksit Bharat 2047.
Mr. Goyal also emphasized India’s growing presence in the global trade ecosystem. “In a world trending toward protectionism, India has secured mutually beneficial trade agreements with countries like the U.A.E., Australia, the U.K., and EFTA members,” he said.
The government, he concluded, is determined to pursue similar partnerships while simultaneously boosting Indian agriculture to ensure food security and long-term prosperity.