India gets a stock market holiday on a day when US tariffs come into effect
The Indian stock markets are closed on Wednesday, 27 August 2025, due to Ganesh Chaturthi festival being celebrated in Mumbai—the financial capital of India.
A stunned South Block was grappling for a response on Thursday as US President Donald Trump’s tirade lasted over 12 hours after announcing a 25% tariff against India, plus a “penalty” for its trade with Russia, from August 1.
- Trump threatens India with tariffs, citing "obnoxious" trade barriers and Russian ties, despite India hoping close US ties would offer lower tariff rate.
- India aims to protect farmers amid Trump's demands for greater market access in agriculture and dairy, crucial due to possible political fallout.
One sector with large exposure to the US market is smartphones, where India has overtaken China to become the top exporter of smartphones to the US.
NEW DELHI – The Modi government found itself in an unenviable position with limited choices after US President Donald Trump levied a 25 per cent tax on India from Aug 1 and threatened it with an additional penalty for doing business with Russia.
Still, analysts noted, India’s best bet is to continue negotiating a trade agreement, which has been stuck over the quantum of American access into the Indian market, particularly in the agriculture and dairy sectors.
