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India Evades 12.5% US Tariff, Faces 10% Section 301 Duty on Exports
✍️ Hindustan Times
🗓 25 Jul 2026, 07:12 AM
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The United States has imposed a 10% Section 301 duty on Indian goods, following New Delhi's stricter rules against forced‑labour imports. The move spares India from a steeper 12.5% tariff that could have hit a broad range of products.
The United States announced a 10% Section 301 duty on a wide range of Indian products after New Delhi tightened its forced‑labour import regulations. The tariff covers goods such as textiles, footwear, and machinery, and is intended to address concerns over labour practices. India’s new rules require importers to certify that items are not produced using forced labour, a move that has prompted the U.S. to impose the duty. While the 10% rate is lower than the 12.5% tariff that could have applied, Indian officials are negotiating to mitigate the impact on exporters.