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  1. Why China is missing from Trump's tariff list, and how Pakistan and other Indian neighbours fared

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Why China is missing from Trump's tariff list, and how Pakistan and other Indian neighbours fared

Upstox

2 min read | Updated on August 01, 2025, 13:38 IST

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SUMMARY

India will face tariffs of 25% on its exports to the US as President Donald Trump issued an executive order listing the various duties that Washington will impose on exports from countries around the world.

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China is excluded due to a 90-day truce reached in May, in which both sides paused tit-for-tat tariff escalations and agreed to maintain rare earths trade flows.

US President Donald Trump slapped sweeping new tariffs on dozens of trading partners late Thursday, pressing ahead with a campaign to reset US trade policy before a looming deadline.

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The White House issued an executive order raising tariffs between 10% and 41% on imports from 69 countries, including India, Canada, Taiwan, and several other Asian, African and European nations. The changes take effect in seven days.

However, China, the largest trading partner of the United States and a frequent target of Trump’s trade ire, was conspicuously absent from the tariff list.

Why is China not on the list

A preliminary 90-day truce was reached in May, with both sides pausing tit-for-tat tariff escalations and agreeing to maintain rare earths trade flows. US tariffs on Chinese imports were reduced from 145% to 30%, while China's retaliatory tariffs dropped from 125% to 10%.

Since the 90-day truce extended the tariff deadline to August 12, China has not been subject to new reciprocal tariffs yet.

“We're making progress, but it's not a done deal,” US Treasury Secretary Scott Bessent told reporters.

India and its neighbours see hikes

India, which was among the hardest hit in Thursday’s order, faces a new 25% tariff—up from the previous average of around 10%.

Other South Asian countries saw varying increases:

Pakistan: 19%

Bangladesh: 20%

Sri Lanka: 20%

Afghanistan: 15%

Countries like Nepal, which are not in the list, face a baseline tariff of 10%.

In a separate order, Trump raised tariffs on certain Canadian imports to 35% from 25%, citing Canada’s “failure to cooperate” in curbing fentanyl trafficking. The move could strain relations with Ottawa just as both countries prepare for a new round of trade talks.

Trump said he had secured “a few excellent deals” on Thursday, but declined to name the countries involved. “They’ll be announced soon,” he told reporters aboard Air Force One.

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Upstox
Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.

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