The US Customs and Border Protection (CBP) has issued a draft notice detailing plans to implement an additional 25 per cent tariff on Indian products from August 27, impacting more than $48 billion worth of India’s exports to the US. The total tariff on Indian goods entering the US market, with certain exceptions, will now be 50 per cent.

According to the notice, the additional tariffs are being imposed to give effect to US President Donald Trump’s August 6 Executive Order that specified a new rate of duty on imports Indian products.

The draft notice, scheduled to be published on August 27, 2025, states that the Secretary of Homeland Security has determined it necessary to modify the Harmonised Tariff Schedule of the United States (HTSUS) in line with the executive order. The CBP further clarified that the new duties will come into effect on August 27, 2025, from 12.01 am (EDT), and will apply to all products of India that are either entered for consumption in the US or withdrawn from warehouses for consumption.