US Imposes Additional 25% Tariff on India Over Russian Oil Purchases

The United States will impose an additional 25% tariff on BRICS member India, effective August 27, following an executive order signed by President Trump. The new levy Stacks atop an existing 25% country-specific tariff, targeting India's purchase of Russian oil. Trump accused India of "effectively financing the Russian war in Ukraine," stating, "They're fueling the war machine."

Despite the tariff threat, brokerages remain cautiously optimistic, suggesting final rates may settle between 15-20% after negotiations. India's real GDP growth is projected at 6.5% for 2025 and 6.4% for 2026, with potential economic slowdown risks if the full 50% combined tariff takes effect.

India and China emerge as the most heavily tariff-impacted BRICS nations this week. India had been working to strengthen US ties through trade deals, but the latest measures signal escalating trade tensions.