New Delhi, July 31 -- US President Donald Trump on Wednesday declared a 25 per cent tariff on Indian goods, effective August 1, citing India's "obnoxious" trade barriers and close ties with Russia for defence and energy.

The move, though not entirely unexpected, has triggered unease among Indian policymakers, exporters, and market participants, given the ambiguity around additional penalties Trump promised for India's Russian transactions.

In a press statement, Trump referred to India as a "friend" but argued that it imposes some of the highest tariffs on US goods and continues to enforce non-tariff barriers that are "unreasonable." He added that India's energy and defence cooperation with Russia, especially amidst the ongoing Ukraine w...