Trump's 50% Tariffs on India Over Russian Oil Purchases Take Effect

India is bracing for a steep blow to its overseas trade as US tariffs on a range of Indian products come into effect from Wednesday.

Transcript

00:00The headline today in India is US tariff. India is bracing for a steep blow to its overseas trade

00:06as US tariffs on a range of Indian products come into effect from Wednesday. The move threatens

00:13a little over half of India's exports to its world's largest market and this underscores

00:22the fragility in trade relations between the two countries. President Donald Trump had initially

00:29imposed a 25% tariff on India. However, early this month, he imposed an additional tariff

00:36of 25% on India for purchasing Russian oil. India hasn't retaliated formally or named

00:44Trump in any of its criticism. But Prime Minister Narendra Modi in his public speeches has made

00:52it clear that interests of farmers and dairy workers will be utmost for his government.

00:59India and US have had five rounds of negotiations for a bilateral trade agreement and the sixth

01:06round, which was scheduled this week to start, couldn't take place as the US delegation called

01:13off its visit amid the trade tensions. Indian government estimates that the steep tariff

01:19will impact around $48.2 billion of Indian exports to the US, triggering job losses and a slowdown

01:28in economic growth. The steep tariffs are expected to hit India's labour-intensive sectors such as

01:35textiles, apparel, gems and jewellery, leather goods and automobile the most.