Donald Trump
US President Donald Trump announced that reciprocal tariffs have taken effect, targeting countries he claims have taken advantage of America for years. As of midnight on August 7, 2025, these tariffs are expected to bring in billions of dollars in revenue for the US government. Trump stated that “billions of dollars, largely from countries that have taken advantage of the United States for many years, laughing all the way, will start flowing into the USA”.
The tariffs range from 10% to over 40% for different countries, with some nations facing higher rates than others. India, for instance, will face a total tariff rate of 50% due to its continued purchase of Russian oil, with the first 25% tariff already in effect and an additional 25% set to take effect on August 27. Other countries like Laos, Myanmar, and Syria will also face higher tariff rates.
Trump claims these tariffs will help level the playing field for American businesses and redirect trade flows to address deficits. However, economists warn that the measures could slow GDP growth. The administration expects to generate about 5% of federal revenue from these tariffs.
India has strongly criticized the decision, calling it “unfair, unjustified, and unreasonable”. Prime Minister Narendra Modi stated that India will “never compromise on the interests of farmers, fishermen, and dairy producers” and is ready to pay a heavy price.
The tariffs have sparked legal challenges in US federal courts, with some arguing that the president lacks authority to impose duties under emergency powers. Meanwhile, Apple has announced investments in US production in response to Trump’s trade policies.
