Trump announces 25% tariff on India plus penalties for buying Russian energy

Donald Trump (AP Photo/Jacquelyn Martin)

Donald Trump has said he will impose a 25% tariff on goods from India, plus an additional import tax because of India’s purchasing of Russian oil.

The US president said on Wednesday that India “is our friend” but its tariffs “are far too high” on US goods.

He added that India buys military equipment and oil from Russia, which Mr Trump said has enabled the war in Ukraine.

As a result, he intends to charge an additional “penalty” starting on Friday as part of revised tariffs on multiple countries.

At a population exceeding 1.4 billion people, India is the world’s largest country and a possible geopolitical counterbalance to China.

India and Russia have close relations, and New Delhi has not supported western sanctions on Moscow over its war in Ukraine.

When Mr Trump met Indian Prime Minister Narendra Modi in February, the US president said India would start buying American oil and natural gas.

He discussed his policies on trade and tariffs with reporters accompanying him on Tuesday on the flight home after a five-day visit to Scotland.

He declined to comment then about reports that India was bracing for a US tariff rate of at least 25%, saying: “We’re going to see.”

Mr Trump also said the outlines of a trade agreement with India had not yet been finalised.