USTR: United States Adjusts Tariff Treatment for Indian Imports Under New Reciprocal Framework

USTR: United States Adjusts Tariff Treatment for Indian Imports Under New Reciprocal Framework

Effective February 7, 2026, the United States will remove the additional 25 percent ad valorem duty on products of India entering the U.S. market. In place of that measure, Indian imports will be subject to a revised reciprocal “Liberation Day” tariff rate of 18 percent.

In addition, qualifying Indian goods will now be eligible under the Potential Tariff Adjustments for Aligned Partners (PTAAP) framework. PTAAP functions similarly to Annex II-style exclusions, allowing for targeted tariff adjustments; however, eligibility is contingent upon a country entering into a trade, investment, framework, or comparable bilateral agreement with the United States. This update reflects ongoing efforts to recalibrate tariff policy in alignment with strategic economic partnerships.

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