Donald Trump Slaps 25% Tariff on India, Cuts Rates for Bangladesh and Pakistan in Trade Shake-Up
WASHINGTON, D.C., United States – August 1, 2025: President Donald Trump has just put a 25% tariff on a bunch of stuff coming from India, starting today. At the same time, the government wrapped up new trade deals with Bangladesh and Pakistan, dropping tariffs way down to 20% and 19%, respectively. The White House says it’s all about fixing what they think are unfair trade situations and making sure countries are on the same page with the U.S.
Why the Different Treatment?
The U.S. government says India’s getting hit with the high tariff because they charge too much for American goods and make it too hard to do business there. Plus, Trump griped on social media about India still working with Russia on military and energy stuff, which he doesn’t like. The White House is hinting at another penalty because of it.
India’s Take and What It Means Economically
The Indian government says they’re looking into the new tariffs. The Ministry of Commerce says they’re all about protecting Indian farmers, business owners, and small companies. This is despite the fact that the U.S. and India have been trying to work out trade deals, and a U.S. team is supposed to visit India later this month.
The tariffs will probably hurt Indian exports. Experts say that medicines, clothes, leather, and some food products will have a harder time competing in the U.S. The U.S. is India’s biggest trading buddy, and India sells way more to the U.S. than it buys.
Good News for Pakistan and Bangladesh
On the other hand, Pakistan and Bangladesh got better deals. Pakistan’s tariff went down from a possible 29% to 19%. This happened after the U.S. said it would help Pakistan dig up more oil. Trump said it was a great partnership move.
Bangladesh also got a lower tariff of 20%, way down from 35%. They worked hard to get the rate down, and it should really help their garment business. Bangladesh is going to buy more U.S. stuff to make up for it.
What It All Means
These tariff changes are part of a bigger trade policy switch-up. The government is changing rates for tons of countries. The idea is that tariff rates should depend on how fair the trade is and whether countries are on board with U.S. security and money stuff. It’s a big change from how the U.S. used to do trade, now using money to get what it wants politically.
