Trump issues order imposing tariffs on 69 nations, India gets 25% hit

Donald Trump has issued an executive order imposing reciprocal tariffs between 10% and 41% on imports from over 70 countries, citing persistent trade imbalances as the reason behind the move

US President Donald Trump on Thursday (local time) signed an executive order imposing steep reciprocal tariffs on imports from 69 countries, in a sweeping move aimed at correcting what he described as long-standing imbalances in trade practices. Under the new measures, countries will face duties ranging between 10 to 41 per cent, with India subject to a 25 per cent tariff.

 

The order, which builds on Trump’s earlier proclamation of a national emergency under Executive Order 14257, cited persistent US trade deficits as "an unusual and extraordinary threat" to national security. The new tariff regime is set to come into effect seven days from the signing date, or August 7.

 

Full list: Countries hit by new US tariffs and the rates imposed

 

India - 25%  Afghanistan - 15%  Algeria - 30%  Angola - 15%  Bangladesh - 20%  Bolivia - 15%  Bosnia and Herzegovina - 30%  Botswana - 15%  Brazil - 10%  Brunei - 25%

Cambodia - 19%

Cameroon - 15%

Chad - 15%

Costa Rica - 15%

Côte d'Ivoire - 15%

Democratic Republic of the Congo - 15%

Ecuador - 15%

Equatorial Guinea - 15%

European Union: Goods with Column 1 Duty Rate > 15% - 0%

European Union: Goods with Column 1 Duty Rate < 15% - 15% minus Column 1 Duty Rate

Falkland Islands - 10%

Fiji - 15%

Ghana - 15%

Guyana - 15%

Iceland - 15%

Indonesia - 19%

Iraq - 35%

Israel - 15%

Japan - 15%

Jordan - 15%

Kazakhstan - 25%

Laos - 40%

Lesotho - 15%

Libya - 30%

Liechtenstein - 15%

Madagascar - 15%

Malawi - 15%

Malaysia - 19%

Mauritius - 15%

Moldova - 25%

Mozambique - 15%

Myanmar (Burma) - 40%

Namibia - 15%

Nauru - 15%

New Zealand - 15%

Nicaragua - 18%

Nigeria - 15%

North Macedonia - 15%

Norway - 15%

Pakistan - 19%

Papua New Guinea - 15%

Philippines - 19%

Serbia - 35%

South Africa - 30%

South Korea - 15%

Sri Lanka - 20%

Switzerland - 39%

Syria - 41%

Taiwan - 20%

Thailand - 19%

Trinidad and Tobago - 15%

Tunisia - 25%

Turkey - 15%

Uganda - 15%

United Kingdom - 10%

Vanuatu - 15%

Venezuela - 15%

Vietnam - 20%

Zambia - 15%

Zimbabwe - 15%

 

Tariff rollout and exemptions

 

The executive order not only revises reciprocal tariff rates but also updates the timeline for implementation. Although Trump had initially set August 1 as the deadline for finalising trade deals, countries now have a week’s window from the order’s signing before the tariffs take effect. For most, that means August 7.

 

However, a grace period has been built into the order. Goods that are loaded onto ships by August 7 and arrive in the US by October 5 will be exempt from the new tariffs—provided they were already in transit when the order was issued. This exemption does not apply to Canada, where the new 35 per cent tariff takes immediate effect. 

 

Rationale and national security justification

 

President Trump said the decision to impose new tariffs was informed by updated intelligence and recommendations from senior officials. He argued that persistent imbalances in trade relationships, particularly the lack of reciprocity and the burden of foreign tariff and non-tariff barriers necessitated corrective action, reported India Today.

 

Trump added that while some countries had made offers, they were inadequate to address these disparities, and others had shown little willingness to engage constructively or align with US economic and national security priorities.

 

Canada singled out with immediate action

 

Canada has been hit particularly hard, with the US increasing tariffs on Canadian goods from 25 to 35 per cent, effective immediately on August 1. According to the White House, the move was in response to Canada’s “failure to act on the illicit drug crisis” and “retaliation against the United States” over earlier trade-related steps taken by Washington.

 

The new levy applies to all Canadian products not covered under the US-Mexico-Canada Agreement (USMCA). Further, goods transshipped through another country to bypass the new Canadian tariffs will incur an additional 40 per cent transshipment levy, the White House added. 

 

Ongoing talks and global uncertainty

 

While the new tariffs go forward, the Trump administration remains engaged in trade negotiations with key partners. US Treasury Secretary Scott Bessent said in an interview with CNBC that the US is still working on a final trade agreement with China.

 

Although the two sides held two days of talks in Stockholm this week, Bessent noted that US negotiators "pushed back quite a bit," and the deal is not yet final. China has until August 12 to complete the agreement, following preliminary deals reached in May and June aimed at easing tensions over tariffs and rare earth mineral exports.

 

In a separate development, Trump also announced an extension of trade negotiations with Mexico by 90 days, giving both sides more time to reach a comprehensive accord.