Trump’s 25% tariff on India: Top 5 Indian products that will suffer maximum loss, check full list

U.S. President Donald Trump has hit India with a predominant change transfer after he announced a 25 per cent import tax (tariff) on items coming from India. He has moreover added penalties for India’s purchases of Russian oil and defence equipment. This announcement comes upright forward of the August 1 nick-off date and should own an affect on quite a lot of sectors of the Indian economy.

India has been The US’s best trading accomplice since 2021. Within the financial year 2024–25, the complete change between the 2 countries reached USD 186 billion. India exported items price USD 86.5 billion to the U.S. and imported USD forty five.3 billion price of things.

Though India has diminished tariffs on items love whisky and bikes, Trump is mute pushing to extra nick down the U.S. change deficit with India that is, the outlet between what the US buys from India and what it sells to India.

What Indian merchandise will seemingly be affected after US tariff?

India is identified around the arena for its IT and IT-enabled services and products. But Trump’s tariffs may circuitously damage this sector, because it’s mostly provider-based. Nonetheless, exports of smartphones, electronics, and parts may presumably draw cease a success. In contemporary years, India’s smartphone exports own grown , even beating frail exports love petroleum merchandise and diamonds.

So, while tech services and products may take care of safe for now, India’s like a flash-rising electronics and smartphone industries may presumably with out a doubt feel the stress from this new U.S. tariff policy.

Top Indian exports prone to be hit by Trump’s 25 per cent tariff

Smartphones

Indubitably one of the very best exports from India to the U.S. correct now is smartphones, particularly Apple iPhones, that are in actuality being assembled in India. Surely, India has even surpassed China in exporting iPhones to the U.S.

• In FY 2025, India exported $24.1 billion price of smartphones to the U.S.
• That’s a 55 per cent amplify in contrast to the old year.
• Thanks to this big volume, smartphones will seemingly be the hardest hit by the brand new 25% tariff.

Pharmaceutical Merchandise

The second-best export from India to the U.S. is pharmaceuticals, at the side of generic medicines.

• In FY 2025, India exported about $10 billion price of pharma merchandise to the U.S.
• This makes up virtually 31–35 per cent of India’s total pharma exports.
• If these merchandise should no longer excluded from the tariff hike, there may be mostly an absence of cheap medicines within the U.S., ensuing in greater costs for American shoppers.

Textiles and Apparel

Next in line is India’s textile and garment change, which is intently counting on exports to the U.S.

• In FY 2025, India exported around USD 10.8 billion price of clothing and attire to the U.S.
• This accounts for roughly 28 per cent of India’s total textile exports.
• At gift, the U.S. charges a 10–12 per cent import responsibility on these items.
• An extra 25 per cent tariff would deal a predominant blow to Indian garment exporters, making their merchandise a ways more costly and no more aggressive within the U.S. market.

Gemstones and Jewellery

India exports a huge amount of gemstones and jewellery to the U.S., particularly diamonds and gold adorns.

• In FY 2025, India exported around USD 12 billion price of gemstones and jewellery to The US.
• The U.S. accounts for roughly 30 per cent of India’s total exports on this category.
• At gift, these merchandise already face a 27 per cent tariff within the U.S.
• Along side yet every other 25 per cent on high of that will presumably badly damage earnings margins and minimize overall keep a question to, making it powerful harder for Indian exporters to take care of aggressive.

Auto Components

India moreover exports an good amount of auto parts love engine parts, brakes, and electrical programs to the U.S.

• In 2024, India exported virtually USD 2.2 billion price of auto parts to The US.
• The export of fully constructed autos was powerful smaller around USD 10 million but parts stay an spectacular section.
• The 25 per cent tariff may presumably straight away affect exports on this sector, making parts from India more costly within the U.S. market.
• This can moreover negatively own an affect on India’s broader engineering items change, which is a key a part of the executive’s ‘Make in India’ export strategy.