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        Customs & Trade

        TMC's Abhishek slams Centre over US tariffs, calls it 'diplomatic failure'

        August 7, 2025

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        Kolkata, Aug 7 (PTI) Senior TMC leader Abhishek Banerjee on Thursday launched a sharp attack on the Centre over the United States' imposition of a total of 50 per cent tariff on Indian goods, terming it a "diplomatic failure", and accusing the BJP of jeopardising the economy.

        Taking a swipe at the BJP, Banerjee, the TMC national general secretary, said that instead of indulging in political blame-games, the Centre must answer why such a steep tariff was imposed.

        "These questions should be asked to those who click photographs with (US President) Donald Trump. Those who campaigned for Trump should be asked about this. The tariff will severely affect India's economy. This is a diplomatic failure," Banerjee told reporters at Kolkata's Netaji Subhas Chandra Bose International Airport before leaving for New Delhi to attend a meeting of the opposition INDIA bloc.

        Banerjee, the newly appointed leader of TMC in Lok Sabha, said that the BJP-led Centre, which once boasted of its "56-inch chest", was now being shown "red eyes" by other countries.

        "I went to five countries as part of a delegation. But even 11 countries, in all, have not condemned the Pahalgam terror attack. Those who had campaigned for Trump, and he also reciprocated the same by visiting India two months before the COVID-19 outbreak, will be in the best position to explain what led the US to impose a 50 per cent tariff on Indian exports," Banerjee said.

        He claimed that neither Chief Minister Mamata Banerjee nor the Trinamool Congress had ever invited Trump or lobbied for him, unlike the BJP.

        "Donald Trump said the Indian economy is dead. I don't agree with that statement. But I will say this -- the Indian economy is in bad shape," Banerjee added.

        The Diamond Harbour MP said that three major sectors -- IT, pharmaceuticals, and textiles -- would be hit hardest by the tariff increase.

        "There will be an overall impact on goods and services related to three sectors -- IT, pharmaceuticals, and textiles. There will be a dip in employment opportunities," he claimed.

        The TMC leader's remarks come a day after reports that the US sharply increased tariffs on certain Indian products, sparking concern among exporters and trade bodies.

        Trump on Wednesday slapped an additional 25 per cent tariff on goods coming from India as a penalty for New Delhi's continued purchase of Russian oil, a move that is likely to hit sectors such as textiles, marine and leather exports hard.

        Trump signed an executive order -- Addressing Threats to the US by the Government of the Russian Federation -- imposing the additional tariff over and above the 25 per cent levy, which comes into effect from August 7.

        After this order, the total tariff on Indian goods, barring a small exemption list, will be 50 per cent. PTI PNT BSM ACD

        Steep US tariffs imposed as a trade penalty increase barriers and threaten competitiveness in key Indian export sectors. An executive order imposed an additional tariff as a penalty tied to India's purchase of Russian oil, creating a steep tariff on Indian goods with limited exemptions. The measure raises trade barriers and is expected to hit export sectors including IT services, pharmaceuticals, and textiles, reducing competitiveness and employment; political leaders criticised the government's diplomatic approach in light of the sanction.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Steep US tariffs imposed as a trade penalty increase barriers and threaten competitiveness in key Indian export sectors.

                                An executive order imposed an additional tariff as a penalty tied to India's purchase of Russian oil, creating a steep tariff on Indian goods with limited exemptions. The measure raises trade barriers and is expected to hit export sectors including IT services, pharmaceuticals, and textiles, reducing competitiveness and employment; political leaders criticised the government's diplomatic approach in light of the sanction.





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