Also Read: US Supreme Court rules against Trump’s global tariffs imposed under emergency law
The story began almost a year earlier — with what Trump dramatically dubbed “Liberation Day.”
April 2, 2025 — Liberation Day shock
Trump unveiled a 26% additional duty on Indian goods and a baseline 10% tariff on imports globally, launching the most aggressive US tariff campaign in decades and jolting financial markets.
April 9 — First retreat
Within a week of market turmoil, he paused country-specific tariffs for 90 days, keeping only the baseline levy in place.
April 23–29 — Negotiation engine starts
India’s chief negotiator Rajesh Agrawal met US counterparts in Washington to begin structured discussions spanning tariffs, customs and market access.
May 23 — Corporate warning shot
Trump warned Apple it could face a 25% tariff if iPhones sold in America were manufactured abroad.
May 29 — Courts enter the arena
A federal appeals court temporarily reinstated the broad tariffs after a lower court had blocked them — foreshadowing the legal battle that would ultimately reach the top court.
July 9 — Deadline passes
90-day pause expired with no deal, as disagreements over agriculture and market access persisted.
Trump kept imposing tariffs on both countries and goods in the interim period, waiting for the nations to scramble for a trade deal.
Escalation Phase — Tariffs spread worldwide
February 1, 2025 — 25% tariffs on Mexico and most Canadian imports; 10% on Chinese goods.
February 10 — Steel and aluminum duties raised to 25%.
March 26 — 25% tariff on imported cars and light trucks.
June 3 — Metals tariffs doubled to 50%.
July 3 — 20% tariff on many Vietnamese exports; 40% on trans-shipments.
July 6 — Additional 10% tariff threat against countries aligning with BRICS.
July 10 — Planned 35% tariff on Canada and blanket 15–20% duties for others.
July 15 — 19% tariff on Indonesian goods.
July 30 — 25% tariff on Indian imports and 50% on most Brazilian goods.
July 31 — Duties of 10%–41% imposed on 69 trading partners.
China faced the steepest escalation: tariffs on its exports surged as high as 145% before a later temporary truce cut them to 30%. Multiple countries, including India inked interim agreements with the United States over tariffs and bi-lateral trade.
The most consequential breakthrough came with India, where months of tense negotiations culminated in a February 2026 bilateral pact announced alongside Prime Minister Narendra Modi. The deal reduced US tariffs on Indian goods to about 18% from 25% and scrapped additional penalties tied to India’s Russian oil imports.
Also Read: India-US trade pact soon: US Ambassador Sergio Gor
For Washington, it secured market access concessions; for New Delhi, it validated a strategy of patient negotiation rather than quick compromise under tariff pressure.
Elsewhere, Trump cut narrower arrangements designed to stabilise key alliances without fully dismantling his tariff regime. A July agreement with Japan lowered duties on Japanese auto imports to 15%, while a separate understanding with the European Union set a similar 15% tariff level on most EU goods, easing tensions with major trading partners while preserving baseline protection for US industries. The United Kingdom secured a limited pact that kept a 10% tariff in place but reduced levies on British cars.
February 20, 2026 — Supreme Court verdict
The Supreme Court ruled Trump’s global tariff regime unlawful, declaring that emergency legislation could not be stretched to justify sweeping trade actions unrelated to immediate national crises. Justices Samuel Alito, Clarence Thomas and Brett Kavanaugh dissented.