Union Commerce and Industry Minister Piyush Goyal on Thursday said that the central government would take all necessary steps to safeguard India’s national interest, a day after US President Donald Trump announced a 25 percent tariff on Indian goods, citing New Delhi’s purchase of Russian oil and weapons.

Speaking in the Lok Sabha, Goyal said that the government was closely examining the consequences of Trump’s tariff order. He also mentioned that India and the United States had started discussions in March on a "balanced and mutually beneficial" Bilateral Trade Agreement, with the goal of completing the first phase by October or November this year.

"On 2nd April 2025, the US President issued an executive order on reciprocal tariffs... 10% baseline duty in effect since 5th April 2025. With a 10% baseline tariff, a total of 26% tariff was announced for India. A full country-specific additional tariff was scheduled to come into effect on 9th April 2025. But on 10th April 2025 this was extended initially for 90 days and then extended till 1st August 2025," he said.

Trump on Wednesday confirmed that a 25 percent tariff on Indian goods would take effect from August 1. He made this announcement on 'Truth Social', saying that the United States had a "massive trade deficit" with India. While he referred to India as a "friend", he also criticised the Indian government for maintaining close relations with Moscow and continuing to buy Russian oil during the Ukraine conflict.

India remained the second-largest buyer of Russian oil after China.

After announcing the tariffs, Trump said the United States was still in trade negotiations with India. He also claimed that India was one of the countries with the highest tariffs in the world.

"India was the highest, or just about the highest tariff nation in the world, and one of the highest - 100 points, 150 points, or percentages. So India was one of the highest in the world," he said, speaking to reporters outside the White House on Wednesday. "They had one 175 per cent and higher than that. You know, another higher one is Canada… But India is one of the highest. We're going to see, we are negotiating with India right now."