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How India ended up facing steep US tariffs despite its strategic partnership

ELAINE KURTENBACH
August 07, 2025

NEW DELHI (AP) -- U.S. President Donald Trump has vowed additional 25% tariff on India for its purchases of Russian oil, bringing the combined tariffs imposed by the United States on its ally to 50%. India has called the additional tariffs "unfortunate."

Trump's Wednesday announcement came as India and the U.S. are still negotiating a trade deal that has faced roadblocks after it was first announced when Indian Prime Minister Narendra Modi met Trump in Washington earlier this year.

It also comes at a time when ties between India and the U.S. appear to have taken a hit even as Modi and Trump share a warm relationship.

Here is how India, a strategic partner of the U.S. in Asia, ended up facing steep tariffs:

February

Trump imposes tariffs on Canada, Mexico and China. He initially spares India, despite repeatedly calling the country a "tariff king," but threatens that high tariffs are coming.

February 14

Modi meets Trump in Washington in an effort to resolve trade concerns. Trump again warns of higher U.S. tariffs on Indian goods.

India and the U.S. agree to work on a trade deal and expand bilateral trade to $500 billion by 2030. They don't share details as to how the target would be achieved.

Modi says he expects a deal to be completed later this year.

March 3

India's trade minister, Piyush Goyal, visits Washington and meets his counterparts to initiate negotiations for the bilateral trade agreement.

April 21

U.S. Vice President JD Vance meets Modi in New Delhi and says both sides are making progress on trade talks.

India and the U.S. also finalize the terms of reference for the trade negotiation, bringing them a step closer to an agreement.

May 10

Trump says he stopped military hostilities between India and Pakistan by offering possible trade concessions to both. India is angered by Trump's claims and disputes them.

May 17

Trade minister Goyal leads a team of senior Indian officials to Washington for more negotiations. India's commerce secretary says the proposed bilateral trade agreement is progressing "very well."

June 27

Trump signals a deal may be close. "We're having some great deals. We have one coming up, maybe with India, a very big one, where we're going to open up India," he says.

July

An Indian trade delegation visits Washington for another round of discussions, which end without reaching a breakthrough.

July

Goyal says India is ready to make trade deals in "the national interest," but not just to meet deadlines.

July 31

Trump imposes 25% tariffs on Indian imports. He warns of further penalties for India because of its buying of Russian oil, and calls its economy "dead."

August 6

Trump vows an additional 25% import taxes on India to punish the country for its purchases of Russian oil, bringing combined tariffs to 50%. The tariffs are set to go into effect after 21 days.

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