The US has controversially doubled tariffs on imports from India to 50%, effective August 27, penalizing Delhi for its continued purchase of Russian oil amidst the Ukraine war. This move makes India the most heavily taxed US trading partner in Asia, threatening to severely impact its exports and economic growth.

• The new 50% tariff rate, up from 25%, is set to take effect in just 20 days, by August 27.
• The US is India's top export market, accounting for 18% of its total exports and 2.2% of its GDP.
• Experts warn that the tariff could render almost all of India's $86.5 billion in annual goods exports to the US commercially unviable.
• Prime Minister Narendra Modi's government faces a critical decision on whether to reduce its reliance on Russian oil or stand firm against US pressure.