New Executive Order Imposes Additional 25% Tariff on Indian-Origin Imports
August 7th, 2025:
President Trump has issued a new Executive Order (EO), effective August 27th, 2025, imposing an additional 25% tariff on all Indian-origin imports. This action is in response to India’s continued importation of Russian oil amid the ongoing conflict in Ukraine.
This new tariff is in addition to the 25% reciprocal duty already scheduled to take effect on August 7, 2025, meaning many Indian-origin goods may be subject to a combined 50% duty, unless an exemption applies.
Who Is Exempt?
Goods are exempt from the new 25% tariff if both of the following conditions are met:
- They were loaded onto a vessel and already in transit to the U.S. before August 27th
- They are entered for consumption or withdrawn from warehouse before September 17, 2025
Additional Key Provisions
- This new 25% duty is stackable with other tariffs unless:
- The product is already subject to Section 232 actions
- The product is listed under Annex II of EO 14257 (issued April 2, 2025)
- The product qualifies under 50 U.S.C. 1702(b) exemptions
- Foreign Trade Zones (FTZs): Products affected by this tariff and admitted to an FTZ on or after August 27 must enter under privileged foreign status
What This Means for You
Importers of Indian goods should prepare for significant cost increases and take the following steps:
- Review entry timelines for goods currently in transit
- Confirm HTS classifications and exemption eligibility
- Ensure compliance with FTZ requirements and duty deferral strategies
For questions or assistance navigating these tariff changes, please contact your Radius International representative. Our trade compliance experts are here to help guide you through this evolving regulatory landscape.
