(NewsNation) — President Donald Trump announced a 25% tariff on India on Wednesday, the news coming the same day as an economic report showing signs of improvement in the second quarter.
The tariff is just one point lower than Trump announced in April, when he first announced what he has billed “reciprocal tariffs,” which he then paused twice.
The tariffs are set to go into effect Aug. 1, a date the trump administration has said will not be moved again.
Live: NTSB begins hearings on deadly DC plane crash
The tariff on India is higher than those levied on other Asian countries, including Vietnam and the Philippines, where tariffs have been set below 20%.
Trump announced the decision as he often does, posting to Truth Social, where he also criticized India’s purchases of military equipment and energy from Russia.
“Also, they have always bought a vast majority of their military equipment from Russia, and are Russia’s largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE — ALL THINGS NOT GOOD!” Trump wrote.
The president has threatened the use of what he has termed secondary tariffs for countries that do business with Russia, which may possibly account for the higher rate India is facing compared to its neighbors.
Live updates: Tsunami waves hit US after 8.8 magnitude earthquake in Russia
Trump criticized the trade deficit the U.S. has with India as well as “obnoxious non-monetary trade barriers,” though he did not specify what he meant by that.
While the U.S. does have a trade deficit with India in terms of goods, the U.S. actually has a trade surplus with the country when it comes to services, which make up the bulk of the U.S. economy, and defense.
Indian Prime Minister Narendra Modi has not yet responded to the announcement.
