Trump 50% Tariffs on Indian goods officially took effect at 12:01 am EDT (9:31 am IST) today. This includes an additional 25 % duty on top of the earlier 25 % increase announced this month. The US Department of Homeland Security confirmed that the higher rate will apply to any Indian goods “entered for consumption or withdrawn from warehouse for consumption” on or after this time.
This action is part of US President Donald Trump’s ongoing tariff campaign against countries that maintain economic ties with Russia; India is a major buyer of Russian crude.
What exports affected by Trump 50% Tariffs
Estimates from the Global Trade Research Initiative (GTRI) indicate that nearly two-thirds of India’s total exports to the US, valued at $60.2 billion out of $86.5 billion in FY25, will now fall under the 50 % tariff. Government estimates suggest a slightly lower figure, around $48.2 billion.
The sectors most affected are those where India has a labor-intensive advantage and significant reliance on the US market. If the tariffs stay in place, GTRI predicts that Indian exports to the US may drop to $49.6 billion in FY26, effectively reversing nearly five years of export growth.
Which Sectors Will Be Most Affected?
The greatest impacted sectors from Trump 50% Tariffs will be in textiles, gems and jewelry, seafood, chemicals, and auto parts. These sectors have driven India’s export growth for years and together employ millions of workers, especially in small and medium enterprises (SMEs).
Read also: Trump Slaps India with additional 25% Tariffs from August 27