The Tariff That Struck a Nerve: India–US Trade in Turmoil
Newscript, August 5, 2025
By Pallab Bhattacharya
Introduction
A silence hung over India’s financial markets the morning after President Donald Trump’s announcement. Then came the tremor.
Starting August 7, Indian exports to the United States—worth nearly $87 billion—will be slapped with a blanket 25% tariff, a fourfold jump from the average 2024 rate. From artisanal shawls in Kashmir to iPhones assembled in Chennai, the imposition cuts across every sector of India's export machinery. What’s at stake is not just commerce—but a hard-won strategic equation that has defined India–US relations for over three decades.
This is not the first time trade has been weaponised by Washington. But for India, the timing is unprecedented. Just as it emerged as a China+1 manufacturi...