President Donald Trump is preparing to unleash another wave of tariffs on dozens of countries, including India, within days, according to a report in the Times of India (TOI), citing the Financial Times. The move comes as a temporary blanket 10% tariff on imports from virtually every trading partner is due to expire on Friday, and as a long-anticipated bilateral trade deal between Washington and New Delhi remains stalled.
New Tariffs on 60 Countries Including India
The administration has drawn up plans to impose new tariffs of roughly 10 to 12.5% on as many as 60 countries, including India, citing investigations into alleged forced-labour practices and unfair trade policies, TOI reported, quoting the Financial Times. The White House is also pursuing separate investigations into excess manufacturing capacity that could eventually justify much steeper duties on imports from countries such as India, China, Japan, South Korea, Vietnam, Mexico and the European Union. The temporary 10% tariff imposed on imports from virtually every trading partner is due to expire on Friday.
India Trade Deal Deadlock Remains
For months, officials in Washington and New Delhi have repeatedly suggested that a bilateral trade deal is close to fruition, with both sides projecting optimism after multiple rounds of negotiations. Yet despite the confident rhetoric, a deal remains deadlocked over long-standing differences on market access, agriculture, digital trade, industrial goods, and tariff concessions, according to the report. Western news agencies reported that India's commerce minister Piyush Goyal was pushing back on any deal unless it gives a meaningful advantage to New Delhi over competitors and no new tariffs after the deal is made. Goyal refuted the reports, stating: "I had fantastic meetings with USTR Jamieson Greer when he visited Delhi in June. Both sides reaffirmed their commitment to an agreement that is balanced, commercially meaningful, and delivers tangible benefits for businesses, farmers, workers, and consumers in both countries." However, TOI noted there is no agreement in sight, and the prospect of another round of US tariffs now threatens to complicate negotiations further, potentially forcing India back into the expanding universe of countries facing higher barriers to the American market, even as its economy is affected by the energy crisis caused by Trump's war on Iran.
Canada Faces 50% Tariff Under Rare Trade Act Provision
Trump's latest escalation comes on the heels of another surprise announcement: a proposed 50% tariff on most Canadian goods beginning in 30 days unless Ottawa removes what Washington describes as discriminatory barriers against American products. Administration officials insist the move is unrelated to Trump's weekend complaints that smoke from Canadian wildfires had "poisoned" American air; instead, they argue the tariffs respond to Canada's retaliation against earlier US trade actions and longstanding disputes involving dairy products, automobiles, and alcoholic beverages. The tariffs rely on a little-used provision of the 1930 Trade Act that has never before been invoked for such sweeping action, TOI reported.
Broader Trade War Concerns
The renewed tariff offensive arrives as mounting warnings from economists and even some of Trump's own advisers that a fresh trade war could unsettle financial markets, fuel inflation, and hurt American consumers ahead of midterm elections in November. Since returning to office, Trump has repeatedly argued that the US has been "ripped off" for decades by allies and adversaries alike, portraying tariffs as overdue compensation for unfair trade deficits and foreign protectionism. While there is indeed some basis for parts of that argument—many countries maintain higher tariff walls than the US in selected sectors such as agriculture, automobiles, and industrial goods—trade economists warn of unintended consequences.
| Tariff Action | Target Countries | Proposed Rate | Effective Date / Condition |
|---|---|---|---|
| New tariffs under forced-labour investigations | Up to 60 countries (including India) | 10–12.5% | Within days; temporary 10% expires Friday |
| Excess manufacturing capacity investigations | India, China, Japan, South Korea, Vietnam, Mexico, EU | Steeper duties possible (future) | Ongoing investigations |
| Proposed tariff on Canadian goods | Canada | 50% | In 30 days unless Canada removes barriers (via 1930 Trade Act) |
The situation remains fluid, with the India trade deal stalled and new tariffs imminent. Importers and exporters should monitor the exact list of targeted countries and rates expected to be released shortly.
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