Trump declares 'economic independence' with 26% tariff on Indian goods

In a dramatic move seen as a turning point in American economic policy, President Donald Trump announced a 26% tariff on imports from India, citing what he called unfair trade barriers and excessive duties imposed on US goods.

Speaking from the Rose Garden of the White House, flanked by steel and auto workers, Trump declared April 2 as “Liberation Day” and said the tariffs marked a “declaration of economic independence” for the US.

The decision, Trump said, stems from India’s cumulative tariff burden — both monetary and non-monetary — on American products, which he claims amounts to 52%. Rather than enforcing a fully reciprocal tariff, Trump said the US would levy half that rate: 26%.

“In many cases, we are being taken advantage of,” Trump said. “They hit us with 52%, we’re hitting back with 26%. That’s just the beginning.”

A slide presented during the announcement pegged the new tariff at 26%, though an official annexure briefly listed it at 27% before being corrected.

The India-specific tariff is part of a broader push by Trump to reset global trade norms. He also introduced a proposed universal baseline tariff of 10% on all imports—regardless of country—as part of a wider strategy to bring jobs and manufacturing back to American soil.

“This is the golden age of American economic strength,” Trump proclaimed. “We will use the trillions and trillions of dollars generated by tariffs to reduce taxes and pay down the national debt.”

The White House cited a range of trade practices—subsidies, currency manipulation, excessive regulations, and intellectual property theft—as justification for the new tariffs. Trump claimed that such “non-monetary barriers” have long disadvantaged American businesses and workers.

Additionally, Trump reiterated that a previously announced 25% tariff on foreign-made automobiles would take effect at midnight Eastern Time on April 2 (9:30 a.m. IST on April 4).

“We’re not just fixing trade,” Trump said. “We’re making history.”