Over 1 lakh jobs in India’s gem and jewellery industry are at risk following the US’s decision to impose a 25% tariff on Indian jewellery exports starting August 1, 2025. The United States is a key market, accounting for nearly 30% of India’s jewellery exports, worth around $9.9 billion. Industry experts warn that the new tariffs will significantly reduce demand from US buyers, increase costs by 15%, and lead to mass order cancellations. Handmade and small-scale jewellery units are expected to be worst hit, with fears of factory shutdowns and large-scale unemployment looming. (PC: ANI)

U.S. President Donald Trump issued a sweeping executive order on July 31, imposing “reciprocal tariffs” ranging from 10% to 41% on nearly 70 countries—effective August 7, 2025 . India is hit with a 25% tariff, along with unspecified additional penalties tied to its defense and energy ties with Russia . In contrast, Pakistan’s tariff rate was sharply reduced to 19%, down from a previously proposed 29% . The announcement rattled markets, triggering declines in Asian equities and a dip in the rupee, while opposition parties in India criticized the Modi government for diplomatic mismanagement. Analysts warn the tariffs could fuel inflation and disrupt global trade, as Delhi now reevaluates its strategic autonomy amid rising economic and geopolitical friction with Washington. (PC: Reuters)

Following former U.S. President Donald Trump's imposition of a sudden 25% tariff on Indian imports—citing concerns over India’s continued defense and energy ties with Russia—the Indian government has decided not to pursue the F-35 stealth fighter jet deal with the U.S. The government is now evaluating steps to address the tariff blow, including increasing imports of American natural gas, gold, and tech equipment to balance the trade equation. Rather than relying on high-end U.S. arms, India is doubling down on joint defense development and domestic manufacturing under the “Make in India” strategy. (PC: Reuters)

On July 30, 2025, U.S. President Donald Trump announced a 25% tariff on Indian goods and hinted at additional penalties over India’s Russian energy and defence purchases. However, he later stated that trade negotiations are ongoing, noting India’s willingness to cut its high tariffs substantially, and that “you’ll know by the end of the week” if a deal materializes . Markets interpreted the announcement as a negotiation tactic rather than a final decision, with investors seeing room for compromise . This signals potential progress toward a fair, mutually beneficial trade agreement.

On July 31, 2025, Indian stock markets opened sharply lower as U.S. President Donald Trump announced a 25% tariff on Indian exports, effective August 1, along with unspecified penalties tied to India’s trade ties with Russia . The Sensex tumbled nearly 800 points and the Nifty 50 fell over 1%, triggering an initial ₹5.46 lakh crore drop in overall market capitalization within minutes . The rupee weakened to around ₹87.74, approaching a five-month low . Although both indices soon bounced back—recovering as much as 700 points—export-driven sectors like textiles, pharmaceuticals, auto parts, and seafood bore the brunt of early losses . Market experts believe the shock may be transient, anticipating tariff negotiations and emphasizing India’s strong domestic fundamentals. (PC: Reuters)

Former U.S. President Donald Trump warned on July 29, 2025, that India may face tariffs between 20% to 25%, though no final decision has been made and negotiations are still in progress . The comment came just two days before his self-imposed August 1 tariff deadline, underlining the pressure on countries without bilateral trade agreements . Indian officials are bracing for the potential temporary increase while awaiting a U.S. delegation’s visit in mid‑August to resume broader trade talks, aiming to finalize a comprehensive deal by September or October. (PC: Bloomberg)

India has overtaken China as the top smartphone exporter to the US, accounting for 44% of shipments in Q2 2025, up from 13% a year ago. This shift is driven by Apple’s accelerated “China Plus One” strategy, scaling iPhone production in India amid US-China tariff tensions. China’s share dropped from 61% to 25%. Apple now assembles iPhone 16 Pro models in India, with plans to double output to 80 million units. Samsung and Motorola also increased India-based exports, though at a slower pace. Despite the supply chain shift, US smartphone demand grew just 1%. Apple’s exports from India hit $5 billion in Q1 FY26, reinforcing India’s rise as a global tech manufacturing hub. (PC: Digital Trends & Wired)

At the AI Summit in Washington, President Donald Trump urged U.S. tech firms to halt hiring Indian workers and building factories in China, declaring “those days are over.” He criticized the industry’s “radical globalism” and called for renewed patriotism and national loyalty. Trump signed three executive orders to promote American-made AI, accelerate data center infrastructure, and eliminate “woke” AI in federal systems. He emphasized that America started the AI race and must win it, urging companies to “put America first.” The move signals a shift toward tech nationalism, potentially impacting Indian professionals and outsourcing firms that rely on U.S. contracts and talent pipelines.

India and the UK have signed a landmark Free Trade Agreement (FTA) aiming to boost bilateral trade by over £25 billion annually by 2040. Under the deal, tariffs on Scotch whisky and British gin in India will be reduced from 150% to 75% immediately, with further cuts to 30–40% over 10 years. UK car import duties drop from over 100% to 10% under quotas. Meanwhile, 99% of Indian exports—including textiles, gems, and pharmaceuticals—will enter the UK duty-free. The agreement also eases visa rules for Indian professionals and opens up UK government procurement markets to Indian firms. (PC: HT Print)

India and the UK are set to finalize a landmark Free Trade Agreement during PM Modi’s July 24 visit to London. The deal will eliminate tariffs on ~99% of Indian exports to the UK—including textiles, leather, gems, marine products, auto parts, and organic chemicals—and phase out duties on 90% of UK goods imported into India, with 64% cut immediately . Key sector wins include zero‑duty access for labour‑intensive industries and improved services mobility. Scotch whisky and cars see staged tariff cuts, while provisions include enhanced market access, professional visa movement, and streamlined procurement . The pact aims to double bilateral trade to $120 bn by 2030, pending legislative ratification in both nations. (PC: ANI)