The US imposition of 25% tariffs is expected to have minimal impact on India, with over half of Indian exports remaining unaffected due to existing exemptions. Trade between the two nations reached $131.

U.S. President Donald Trump said a trade deal with India has yet to be finalised and warned of possible higher tariffs ahead of an August 1 deadline to seal an agreement.

US President Donald Trump on Monday said a trade agreement with India has not yet unfinished, just two days before the August 1 deadline to impose reciprocal tariffs. Speaking to reporters, Trump said discussions are ongoing and hinted that India could face import duties as high as 25% if talks do not reach agreement.