US President Donald Trump has announced 25 percent tariffs and fine on exports from India from 1 August. Along with this, India has become the latest country to be included in the list of countries facing high tariffs under Trump’s Liberation Day Business Strategy, which aims to restructure the US trade partnership through advanced mutual agreements. US President Donald Trump said on the social media platform that remember, India is our friend, but we have done relatively less trade with him over the years, because his tariffs are very high, which are the most in the world, and they have the most rigid and unpleasant non-monetary trade obstacles compared to any country.

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Trump’s tariff impact on auto industry

America is the largest market for auto parts exported from India. In the financial year 2025, India sent prizes worth $ 7.35 billion to the US, showing an increase of 8.4 percent compared to the previous year. Meanwhile, the auto parts imported from the US to India were $ 1.65 billion. Therefore, experts believe that tariffs can affect the margin of auto part manufacturers such as Sundaram fasteners, enrichment mother -in -law, etc. In addition, it can also affect their position compared to suppliers of competitive markets like Canada, Japan etc.

In addition, OEMs seeking exports of export in the US market may also be motivated to increase their presence in other markets such as Europe. The list includes prominent two -wheeler manufacturer companies like Royal Enfield, Honda and other companies trying to take advantage of motorcycle demand in the US market.

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Which products are traded mainly between the two countries?

India’s main exports include drug manufacturing in 2024 and organic (US $ 8.1 billion), telecommunications equipment (US $ 6.5 billion), precious and semi-precious stone ($ 5.3 billion), petroleum products ($ 4.1 billion), gold and other precious metal jewelery ($ 3.2 billion), cotton prepared clothes ($ 2.8 billion), including accessories ($ 2.8 billion) and iron and $ 2.7 billion. Import includes crude oil ($ 4.5 billion), petroleum products ($ 3.6 billion), coal, coke ($ 3.4 billion), carved and polished diamonds ($ 2.6 billion), electric machinery ($ 1.4 billion), aircraft, spacecraft and Kalpurje ($ 1.3 billion) and gold ($ 1.3 billion).