India Not Among Countries Facing Fresh Trump Tariffs; Relief for Exporters Amid Ongoing Trade Talks

July 10, 2025 – India has been excluded from the latest round of US tariff letters, offering a much-needed breather for its export sector. The move comes at a time when New Delhi and Washington are actively negotiating a wider trade deal, and is being seen as a sign of continued diplomatic engagement between the two sides.

Over 20 Countries Receive Tariff Letters

As part of a sweeping tariff initiative, the Trump administration has sent out tariff notifications to approximately 20 countries this week. On Monday, 14 countries received the first round of letters, including Japan, Indonesia, South Korea, Malaysia, Thailand, Bangladesh, and South Africa. On Wednesday, the US extended the list by adding Libya, Iraq, Algeria (30% tariff), Moldova, Brunei (25%), and the Philippines (20%).

Despite this aggressive trade posture, India remains off the list, a decision that aligns with ongoing bilateral discussions aimed at deepening trade relations.

India’s Previous Tariff Suspension Extended

• On April 2, the US announced a 26% reciprocal tariff on imports from India.
• The tariff was temporarily suspended for 90 days, giving both sides room for further dialogue.
• With the suspension period ending on July 9, the US has now extended the deadline to August 1.
• However, the baseline 10% tariff on Indian goods remains in place and continues to apply.

Strong Bilateral Trade Ties

India and the US have maintained a strong trade relationship since 2021–22, with the US emerging as India’s largest trading partner. In FY2024–25 alone, both countries traded goods worth USD 131.84 billion. India exported goods worth USD 86.51 billion to the US, while imports stood at USD 45.33 billion, leaving India with a trade surplus of USD 41.18 billion.

The continued exclusion of India from the latest tariff notifications, despite ongoing protectionist measures by the US, is seen as a positive sign for the future of bilateral trade negotiations.

Disclaimer:  At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations