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India Faces Highest Tariff in South Asia

04 Aug, 2025

The global trade landscape is shifting dramatically due to President Trump's new tariff policy. As of August 1st, India faces a hefty 25% tariff, making it the highest among South Asian nations. In contrast, neighboring Pakistan benefits from a lower tariff of 19%, positioning itself strategically in the region. Other countries like Bangladesh and Sri Lanka also enjoy lesser tariffs. Pakistan's recent agreements with the US on oil and digital services further enhance its trade standing. This situation could reshape economic relationships in South Asia, leaving India at a disadvantage.

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