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50% tariffs on India to blow back on Trump? US GDP could shrink 40–50 bps, inflation to flare: SBI report

IndiaTimes Wednesday, 27 August 2025 ()
State Bank of India's analysis suggests that the recent US tariffs on Indian goods could negatively impact the American economy. The report projects a potential 40-50 basis point reduction in US GDP and increased inflationary pressures. Import-dependent sectors in the US are already feeling the strain.
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News video: EXPLAINED: India Ready To Fight Trump’s 50% Punitive Tariffs | PM Modi Vows To Defy U.S. Pressure

EXPLAINED: India Ready To Fight Trump’s 50% Punitive Tariffs | PM Modi Vows To Defy U.S. Pressure 04:31

 President Trump has imposed 50% punitive tariffs on India, accusing New Delhi of “funding Russia’s war machine” through increased oil imports from Moscow. The move threatens $48.2 billion worth of Indian exports, with SBI warning of a 0.3–0.6% GDP hit. Prime Minister Narendra Modi has refused...

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