The White House announced Wednesday that it would impose an additional 25% tariff on India and raise the total tax on its major US trading partners to 50%, CNBC reported.
“We have seen that the Indian government is currently importing oil directly or indirectly from the Russian Federation,” President Donald Trump said in an executive order.
“In response and consistent with applicable law, Indian articles imported into the US customs territory will be subject to an additional 25% Valorem tax rate,” the executive order said.
The order says the new tariffs are set to take effect in 21 days, but the previously announced 25% tariff is expected to come into effect Thursday.
Trump’s new tariff rate on India is currently one of the highest taxes on any of its US trading partners.
This is the latest indication that Trump is chasing the threat of punishing Russia’s oil-buying countries. This is because he has increased his rhetoric in recent weeks against Ukraine’s invasion of Ukraine.
India said it was “very unfortunate that the US should choose to impose additional tariffs on India due to actions in which several other countries are in their interests.”
“We have already made clear positions on these issues, including the fact that our imports are based on market factors and are being made with the overall purpose of ensuring the energy security of India’s 1.4 billion people,” said an official spokesman for India’s Ministry of Foreign Affairs.
“We reiterate that these actions are unfair, unfair and unreasonable,” the statement continued.