US 50% tariff on Indian goods takes effect, hitting textiles, jewellery and shrimp exports

The United States' 50% tariff on Indian goods came into effect on Wednesday, August 27, putting billions of dollars of trade at risk.

President Donald Trump had first imposed a 25% tariff on India. A week later he added another 25%, citing India's purchases of Russian oil.

Labour-intensive sectors are expected to be hit hardest, including textiles and garments, gems and jewellery, shrimp, leather, footwear, furniture and chemicals.

The higher duties will affect more than half of India's roughly $86 billion in exports to the US. Items such as pharmaceuticals and electronics remain exempt for now.

India has called the additional tariff "unfair, unjustified and unreasonable" and said it will take all actions necessary to protect its national interests.