President Trump has issued a new executive order addressing Indian support of the Russian Federation through continued purchase of Russian oil, citing national security concerns and imposing a new 25% tariff on products from India. The tariff will be applied in addition to the 25% tariff set to take place on August 7 at 12:01 EST, and will take effect on August 27 with exceptions made for goods in transit before the implementation date.
The EO also states:
Sec. 3. Scope of Duties and Stacking.
(a) The ad valorem duty imposed in section 2 of this order shall be in addition to any other duties, fees, taxes, exactions, and charges applicable to such imports, unless subject to existing or future actions under section 232 of the Trade Expansion Act of 1962, in which case the ad valorem duty imposed in this order shall not apply.
(b) The ad valorem duty imposed in section 2 of this order shall not apply to articles that are excepted by 50 U.S.C. 1702(b).
(c) The ad valorem duty imposed in section 2 of this order shall not apply to articles that are set forth in Annex II to Executive Order 14257 of April 2, 2025 (Regulating Imports With a Reciprocal Tariff To Rectify Trade Practices That Contribute to Large and Persistent Annual United States Goods Trade Deficits), as amended.
(d) The ad valorem duty imposed in Executive Order 14257 of April 2, 2025, as amended, shall apply in addition to the ad valorem duty imposed in section 2 of this order, when applicable pursuant to the terms of Executive Order 14257.
(e) Except for those articles that are eligible for admission under “domestic status” as defined in 19 CFR 146.43, articles that are subject to the duty imposed in section 2 of this order and are admitted into a foreign trade zone on or after 12:01 a.m. eastern daylight time 21 days after the date of this order must be admitted as “privileged foreign status” as defined in 19 CFR 146.41.
O.T.S. will continue to monitor this fluid situation and provide updates as they become available. Please do not hesitate to reach out to your O.T.S. Sales Representative for more information.