Former US President Donald Trump has warned that Indian imports may face tariffs of up to 25% if a trade agreement between the two nations isn’t finalized soon.

“They’re going to pay 25%,” Trump told reporters, as per CNN. When asked if India would face tariffs between 20% and 25%, he confirmed, “Yeah, I think so. India has been; they’re my friends.”

The US and India have been negotiating a trade deal for several months, but a final agreement is still pending. Trump has consistently pushed for better market access for American products in India, echoing similar demands made during other international trade talks.

US Trade Representative Jamieson Greer stated that more discussions are needed, saying India has shown interest in opening parts of its market, but further negotiation will determine the deal’s scope.

While Trump hasn’t formally threatened India with new duties, his latest comments suggest that India could face higher tariffs if a deal isn’t struck soon. Earlier, on April 2, he had imposed 26% tariffs on Indian goods, but those were paused shortly after.

The US currently runs a trade deficit with India, importing $87.4 billion worth of goods in 2024, compared to $41.8 billion in exports. Major US imports from India include pharmaceuticals, smartphones, and clothing.